Gold Investments Market Update - What Will the G20 Agree?
-- Posted Friday, 14 November 2008 | Digg This Article | Source: GoldSeek.com
Crude oil briefly dipped below $55 a barrel yesterday for the first time in 22 months prompted by reports, warning that demand will be significantly weaker in 2009 due to the global economic downturn.
Despite this, Gold gained slightly on the news that Chinese investors' demand had surged in the first nine months of 2008. Gold is currently trading at $728 after closing in New York on Wednesday at $710.30.
In wealth preservation terms, Gold is still doing an admirable job. The metal is up 7 per cent since the start of the financial crisis in August 2007. This contrasts with losses of over 40% on the S&P 500 index. The situation looks even better in Europe. In Sterling terms Gold is up 46% since last August and 17% in Euro terms.
Sterling took another hammering yesterday and hit a 6 and a half year low against the Dollar and an all time low against the Euro. Analysts believe that this is due to predictions that the Bank of England will cut rates sharply.
On the eve of the G20 summit it is likely that the 3 main themes will be: economic policy, the need to rethink global financial regulation and the need to modernise international financial institutions. National Leaders are expected to agree a statement on the origins of the financial crisis but in a way that does not solely ascribe blame on the U.S. This would seem to be in line with comments from 5 of the most powerful hedge fund managers, including George Soros, who blamed the current crisis on the "system itself" and warned that excessive regulation would "stifle the best innovative qualities" of the market.
George Soros also said that recession was inevitable. It must have been a hoot to be in that meeting!
Financial Regulation: Gold & Silver Investments Limited trading as Gold Investments is regulated by the Financial Regulator as a multi-agency intermediary. Our Financial Regulator Reference Number is 39656. Gold Investments is registered in the Companies Registration Office under Company number 377252. Registered for VAT under number 6397252A. Codes of Conduct are imposed by the Financial Regulator and can be accessed at www.financialregulator.ie or from the Financial Regulator at PO Box 9138, College Green, Dublin 2, Ireland. Property, Commodities and Precious Metals are not regulated by the Financial Regulator
Disclaimer: The information in this document has been obtained from sources, which we believe to be reliable. We cannot guarantee its accuracy or completeness. It does not constitute a solicitation for the purchase or sale of any investment. Any person acting on the information contained in this document does so at their own risk. Recommendations in this document may not be suitable for all investors. Individual circumstances should be considered before a decision to invest is taken. Investors should note the following: The value of investments may fall or rise against investors’ interests. Income levels from investments may fluctuate. Changes in exchange rates may have an adverse effect on the value of, or income from, investments denominated in foreign currencies. Past experience is not necessarily a guide to future performance.
All the opinions expressed herein are solely those of Gold & Silver Investments Limited and not those of the Perth Mint. They do not reflect the views of the Perth Mint and the Perth Mint accepts no legal liability or responsibility for any claims made or opinions expressed herein.
Fair Use Notice: This newsletter contains copyrighted material the use of which has not always been specifically authorized by the copyright owner. We are making such material available in our efforts to advance understanding of issues of financial and economic significance. At all times we credit and attribute the copywrite owner and publication.We believe this constitutes a 'fair use' of any such copyrighted material as provided for in Copyright Law. The material on this site is distributed without profit to those who have expressed a prior interest in receiving the included information for economic research purposes. If you wish to use copyrighted material from this site for purposes of your own that go beyond 'fair use', you must obtain permission from the copyright owner.
Mission Statement Gold and Silver Investments Limited hope to inform our clientele of important financial and economic developments and thus help our clientele and prospective clientele understand our rapidly changing global economy and the implications for their livelihoods and wealth. We focus on the medium and long term global macroeconomic trends and how they pertain to the precious metal markets and our clienteles savings, investments and livelihoods. We emphasise prudence, safety and security as they are of paramount importance in the preservation of wealth.
Gold and Silver Investments Ltd. have been awarded the MoneyMate and Investor Magazine Financial Analyst of 2006.
The content on this site is protected
by U.S. and international copyright laws and is the property of GoldSeek.com
and/or the providers of the content under license. By "content" we mean any
information, mode of expression, or other materials and services found on GoldSeek.com.
This includes editorials, news, our writings, graphics, and any and all other
features found on the site. Please contact
us for any further information.
Disclaimer
The views contained here may not represent the views of GoldSeek.com, its affiliates or advertisers. GoldSeek.com makes no representation, warranty or guarantee as to the accuracy
or completeness of the information (including news, editorials, prices, statistics,
analyses and the like) provided through its service. Any copying, reproduction
and/or redistribution of any of the documents, data, content or materials contained
on or within this website, without the express written consent of GoldSeek.com,
is strictly prohibited. In no event shall GoldSeek.com or its affiliates be
liable to any person for any decision made or action taken in reliance upon
the information provided herein.
OilSeek.com
