Dear readers,

In recent months, we have seen huge moves of the volatile market in these troubled times. Even commodities such as gold which is considered defensive, have been moving in difference of US$20-50 in many occasions.

The question in the minds of most investors are, how is this crisis going to fare as compared to the previous crash and depression.

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Dear readers,

I haven’t been posting lately as I have been busy reading up on the movements of the global economy. The ups and downs of corporate giants are so exciting that it’s like watch Batman! We’re not just experiencing a stock market crash or anything like that. It’s apparent that the world is going to be hit by a financial crisis and it won’t get better unless an ocean of money is printed to support the market.

In times of crisis mentioned above, where will you put your money? Under your bed? In the bank? Invest in stocks and bonds? Insurance? Commodities?

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Dear readers,

I’ve just created a new blog on gold investing, BullionGold.net.

By creating a new blog on gold investing, I’m now able to share more content such as videos on the new blog. You will be able to find more analysis, commentaries on gold investing as well. All future gold investing posts will be made at BullionGold.net and not here. Remember to subscribe to BullionGold.net receive the latest updates too!

See you investors on the other side!

Dear readers,

Here’s 8 reasons why you should own gold.

1. Gold is not money. Gold is value. It is the most liquid asset that is accepted around the world.
2. Gold is useful as money because it is valuable & portable. It’s also rare & not easily counterfeited. Gold is fungible & exchangeable because every bit of .999 fine gold is similar enough to be like another. Gold does not rust or decay so it’s imperishable. These properties make gold a good store of value, a medium of exchange, and a unit of account.
3. While other investments like shares can devalue to zero (Enron), the value of gold can never go to zero. Paper money is a promise to pay while gold is payment in full.  Bear in mind that promises can be broken or defaulted.  Gold is not a promise, gold is wealth.  Currencies can also devalue to zero, and all paper currencies in the history of the world have devalued to zero in time.
4. Retail investors are recognising what is unfolding. They are seeking an alternative to paper currencies and financial assets and this will create an enormous investment demand for gold. To facilitate this demand, a number of new vehicles like Central Gold Trust and gold Exchange Traded Funds (ETF’s) are being created.
5. Gold cannot be taxed away (if they don’t know you have it in the first place) or inflated away (the government cannot create more of it easily).
6. Gold is increasing in popularity. Countries like China and India have been accumulating gold. People in Vietnam have to use gold to buy houses!
7. Comparing to price of crude oil, the price of gold is undervalued relatively speaking. Oil has almost tripled while the price of gold only doubled since the recent low. Especially with a Peak Oil in the global oil production, when oil rises, gold inevitably will rise together.
8. The decline of the Dollar due to the current sub-prime mortgage crisis has contributed greatly to the recent increase in gold prices. Do you anticipate recovery in the Dollar any time soon? I would expect it to fall further.

Should you own some gold now? Well, it’s up to you.

[tags]gold, investment, global currency, 8 reasons why you should own gold[/tags]

Dear readers,

Sorry I haven’t been blogging for quite a while now because the projects have been piling up like crazy!

Anyway, have you noticed that gold is moving beyond the US$888 region? While some are considering to cash out while others are looking to cash in, it is important to understand, what is our long term view and target price for gold before making any hasty decisions.

To keep you thinking, check out this article from Financial Times.

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Dear readers,

This Christmas, Japan precious metals company Tanaka Kikinzoku Kogyo unveiled two Santa Claus statues made of pure gold. The company took three months to make the 42-centimeter-tall seasonal figures using 20 kilograms of pure gold and a total of 1.7 carats of diamonds that decorate the belt. The statues are worth a whooping 200 million yen each!

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Dear readers,

A few months ago, I’ve shared with you how you can invest in gold. Recently, I’ve just found a new alternative to invest in gold.

Check out Bullionvault.com, an online gold investing platform. Bullionvault is where gold investors visit to buy gold for storage in a professional bullion vault. The process is secure yet straightforward, and prices are competitive.

When considering investing in gold with online or offline platforms, it is important to bear in mind the two types of treatment of gold. Technically, they are called allocated and unallocated storage of gold.

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Dear readers,

Gold is settling now at the US$830 mark steadily. Looks like central banks are not doing anything to push gold down. I’m currently waiting for any possible gold weakness before accumulating further.

Check out this article by CNNMoney.com

Gold settles at record high
Investors seek safe haven as the dollar falls on a report that China may diversify its exchange reserves, but one analyst sees rally fading.
By Ben Rooney, CNNMoney.com staff writer
November 7 2007: 3:27 PM EST
Source: CNNMoney.com

NEW YORK (CNNMoney.com) — Gold settled at a record high of $833.50 an ounce in New York trading Wednesday as the dollar’s decline and oil’s record surge caused inflation-wary investors to seek stability in precious metals.

The previous high was $825.50, set Jan. 21, 1980, or $2,128.09, adjusted for inflation, according to the Minneapolis Fed Calculator.

Trading in gold offers investors a hedge against stock market volatility because it is a store of value, compared to stocks, which are subject to a variety of unpredictable economic factors.

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Dear readers,

Have you started your gold investments? I sure hope I’ve managed to convince you with so many of my posts on gold investing for the past few months.

This week, gold closes above US$800/oz which is the highest since 1980. I’m no fortune teller, but I’m glad that I topped up my gold savings account a few days ago prior to the interest rate cut announced by the Federal Reserve.

Though I’m not a technical analyst, I believe gold will correct downwards slightly before resuming its bullish trend. So if you wish to accumulate more gold, monitor the charts and enter at a good price.

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By MADLEN READ 11.01.07, 3:49 PM ET
Associated Press
Source: http://www.forbes.com/feeds/ap/2007/11/01/ap4290622.html

NEW YORK - An ounce of gold has reached $800 for the first time since 1980. Here are some questions and answers about what the 27-year high in gold prices means for consumers and investors.

Q: How will rising gold prices affect the average consumer?

A: Not a whole lot. Some jewelry retailers, especially small ones, might have to pass along some of the higher costs to consumers in order to make a profit. It’s important to note, though, that craftsmanship accounts for jewelry pricing more than raw materials do. Gold is used in small amounts in electronics, too, but not enough to affect price tags noticeably.

Growing demand for gold jewelry in India and China is one reason gold prices have increased over the past several years. Other reasons include the falling dollar and the fact that the commodities markets have become very popular for speculators.

What affects people more than surging gold prices is the rise in prices of everyday commodities, like oil, corn and industrial metals. The weakening dollar is also a concern for Americans, because it makes international travel more expensive and could start making imported goods pricier.

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