Hope is Golden

Recently Federal Reserve Chairman Ben Bernanke showed optimism predicting the end of the recession by the end of 2009. We all from Wall Street to Main Street hope he is correct. We need to be able to generate jobs and keep people in their homes. Mr. Bernanke’s statement temporarily stopped the Stock Market avalanche slide and even stalled the “Bull Run” of the Gold market.
The Gold market has held STRONG despite frantic attempts to solidify the Stock Market and that is an indication financial institution and investors World-wide are choosing Gold as they’re “safe haven”. We are certainly living in uncertain times with record unemployment and bail-out programs for the nation’s largest corporations. The volatility in these world Markets is unprecedented and should continue through the recessionary period.

Over the past year we have seem Crude Oil trade near $150.00 per barrel to the present $43.00 per barrel. (70 % decline) The Stock market was trading at the 14,000 level to the present 7,000 level. (50 % decline) The Gold traded over $ 1000 per oz. and is presently trading in the $950.00 per oz. range. I realize gold has traded below $700.00 per ounce over this time frame.(30 % decline)
Gold is the investors’ tool in poor economic environments. I certainly hope Mr. Bernanke’s predictions are accurate and there’s a light at the end of the tunnel. But until it becomes a reality you need to plan accordingly and trade smart. This includes selecting a trading system and Broker that meets your needs.
Give me a call and let’s talk Gold.
Mike Daly
Senior Broker
PFG Best

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