From the history and all the data I wrote in my article. Gold can preserve the purchasing power all the time, other items are cheaper than before with today gold price. As you can see in my last article (What is Inflation? – Let’s understand about Inflation) we can buy more steak more than 220 pounds.
In other way all currency (usd, euro, etc…) can’t keep purchasing power. We have to give more money to buy something, actually everything instead. The easy way to check for inflation, you just go to any bank or ATM machine and withdraw your money. You will get a brand new bank note all the time. How come? It because FED can issue any new notes all the time they need. Have you ever come with question? Where are the old bank notes? It still there in the system, they might eliminate some of them [...] Continue Reading…
Today I will talk about thing that you must know, it’s about “Inflation”.
You may not notice about its effect and think that it is just a minor issue for your living. I can tell you it’s not and it quit effect directly to all of us and especially to the employee like us.
During the day we’re working hard to have more money to pay on bills, food, education, etc…
Some people who have the power and priority such as politician or government leaders just grant the approve in second, then huge amount of money are injected into the system (such as QE1 and QE2 and later call Operation Twist, are you confuse??? )
If we are frankly to ourselves and looking at the banknotes, banknotes all over the world are made from the same thing.
Paper and Color ink.
Have you ever though, why $100 notes are different from $1? They made [...] Continue Reading…
What is the Operation Twist? What is the effect to the Stock market and Commodity price?
You may wonder for the situation that all market going down (DJ index, Wall Street, Gold & Silver price, including other commodities).
After Fed had announced the “Operation Twist” which they claim that it’s not the time to do QE3 (yes, I think so and will tell you the reason why ). They claim that this operation will not issue more money but they will use the current money, 400 billion dollars, to buy longer-term bonds.
This will affect directly to the interest rate of bonds, it will drop to 1-2% during 3-30 years. They expect that the low interest rate will induce the investor and small business to invest more in the market and asking more for loan, including main street people may interest to have home loan. This will encourage on the [...] Continue Reading…
Right now we are in the important time of the “New World Economic History”. What it was happen with “Gold” in the past, it will happen in the same way as in the past.
But…
I have confident that it must be bigger than before.
- Some people prepare long time ago.
- Some just starting and they will survive in the future.
- Some still not understand and think gold is in bubble phase.
I’m pretty sure that many people still confuse and don’t know what is going on with the world economy right now and what it will affect to the gold price. Please read all of my articles which listed on the first page again, if you had read and think it’s not worth to your time then close it. But if it does I will show you more for the opportunity to invest in Gold only one time in your life.
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What’s [...] Continue Reading…
There are many misunderstandings related to investments in gold.
In order to clarify these misunderstandings I have to re-explain few points again. I hope this article will help many new investors who are aiming to invest in gold. If you had read all the previous articles then it is not a big thing for you to understand the whole gold story.
I will suggest the new comers to briefly go through all previous articles in order to have a better perception about increase in gold price.
Opinion 1: Gold Cannot be eat!!!
Many times you might have heard that gold is an expensive metal and it is not good for human use. The only main use of gold is that it is used in beautiful decorations mainly jewellery. The conscious or unconscious reason behind purchasing gold on major occasions is “Gold is real money.”
Many people may not understand true motivation behind investment [...] Continue Reading…
