Gold Offers Investors a Bumpy Ride for a While Yet
(1888PressRelease)Possibility of Greek default and increased seasonal demand should be supportive of gold, but volatility seems likely to continue.
MIAMI, FL, It looks as if we are in for yet another week of indecision – or volatility – in the gold market. Germany is showing signs of having given up on Greece which, in turn, seems to be preparing for a default. Greece’s prime minister, George Papandreou’s priority is to avoid bankruptcy for his country while it remains in the euro zone – a challenging ambition to achieve. Meanwhile, 53% of the German people are opposed to Germany giving further help to Greece unless Greece fulfills the strict terms of its agreement. This disquieting news from Europe should be supportive of gold since it will perpetuate nervousness among investors about the economic stability of the euro.
Demand for gold is also expected to strengthen in the fall due to both increased demand for jewelry in China and India and to investment demand. In the interim we can suspect more record-breaking highs followed by sharp corrections. With every dip in price the bargain hunters come out and there is a buying frenzy, which then pushes the price back up again.
“Investors need to buckle their seat belts in readiness for a bumpy ride,” says Bill Hionas of Pan American Metals of Miami. “It appears that the gold market is not going to be settled any time soon; we are going to have to live with the volatility for a while.”
Speculators may enjoy playing the market, selling at the high points and buying their gold back again, for less money, during dips. Investors who are more concerned with long-term returns will be riding out the wilder swings and waiting for the market to settle, as it always does.
About us:
Pan American Metals of Miami, LLC is a group of traders, investors and brokers who combine many years of experience to help clients invest in bullion. PAMM provides an individual investment service and is based in Miami, Florida for convenient access to both North and South American investors.
Website: http://www.panamericanmetalsofmiami.com
Press Contact
Debbie Bailey
Executive Administrator
Pan American Metals of Miami, LLC
Email: dbailey ( @ ) investpanam dot com
Website: http://www.panamericanmetalsofmiami.com
Source:
http://www.1888pressrelease.com/gold-offers-investors-a-bumpy-ride-for-a-while-yet-says-pan-pr-334120.html
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