Listen to veteran precious metals advisor Tom Cloud as he explains what lies ahead for gold, silver, palladium, and platinum prices.
- We’re seeing major corporations like Red Lobster, Olive Garden, and Papa John’s Pizza talk about cutting the work force and Buffalo Wild Wings is talking about an Obama Healthcare surtax like a food tax. Every time you eat with them it’s going to be put on your invoice to cover the tax for health care bills.
- Under eight years of the Bush Administration, gold averaged 18.8% per year. Under Obama, if the market were to close today, gold prices have averaged 15.2 % per year.
- Although it can be difficult to ignore these short-term moves in gold, we have to keep our eye on the long-term. Gold prices went up $50 during the first three days after the election. Since then, it has pulled back down $15. But it’s still up $35 dollars since the election last Wednesday.
- So, we have to look at it with common sense. Central banks, major pension plans, and even commercial banks are buyers in this environment. In fact, after 35+ years in business with thousands of clients, I have just sold our first order to U.S. commercial bank ever. Banks are buying gold as an investment… And we’re seeing investment funds and money managers adding to their gold positions all over the country. So, the demand is there. Don’t sit and worry about Obamacare dragging gold prices down a few dollars.
- Do you want all of your money in U.S. dollars that are virtually guaranteed to lose 6-10% in purchasing power in the next twelve months or do you want something that has the potential to go up over 15% per year for the next four years. Where do you want your money?
- People are out buying ten year annuities, we’re talking about buying a four year annuity in gold or silver or platinum or palladium or rhodium.
- So, I think you just have to start using common sense and making good decisions in this tough environment.
Remember last year? The week before Thanksgiving, gold demand slowed and then we saw gold prices explode up $100 an ounce from the day after Thanksgiving to Christmas. Don’t be surprised to see that kind of move again.
- We’ve got a lot of people finally liquidating their rare coins, they sat and watched for a year while gold’s gone up 10%, the rare coin index hasn’t moved up any that they’re finally figuring out that they’ve got to get out of these rare coins that are overpriced. We are also seeing a lot of movement in people adding physical precious metals to their IRA’s. We use a company called Sterling Trust or Goldstar. If you would like to discuss any of these topics, you can reach me at 800-247-2812.
- If you would like to discuss any of these topics, you can reach me at 800-247-2812.
- I wish each and every one of you a happy Thanksgiving!