June 18, 2009 – Buying gold bullion has been referred to as one of the best ways to diversify an investment portfolio in order to potentially obtain short-term profit and preservation potential that may not be obtained with volatile investments like stocks and real estate. In the past eight years, many wise American investors have begun buying gold bullion as their ultimate hedge from floundering mainstream investment markets and dangerously growing inflation. Currently, we’re facing a deflationary period as interest rates have reached record lows amidst the worst financial crisis we have seen since the Great Depression, yet several market analysts are expecting significantly higher inflation within the next two years if the United States Federal Reserve decides to increase interest rates before true economic stability is seen. The last time that something like this occurred was in the late 1970’s, during a similar financial crisis when the Federal Reserve also increased interest rates, thus investors began buying gold bullion in massive quantities as the spot price of the metal increased in value exponentially, more than 850% in just two years. If something similar to this happens again, wouldn’t you like to know that you are diversified in an asset that has the potential to increase in value exponentially during troubling economic times?
By around 2 PM Eastern Standard Time, more investors are buying gold bullion bars and coins, thus the spot price is climbing to $935.80 per ounce, an increase of .11% for the day and also an increase of 2.01% for the month.
Jonathan Monroe
Senior Staff Writer - Gold-Bullion.org
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