MIAMI, FL - Gold, silver and palladium all made huge gains last week with palladium, percentage wise coming out way ahead at 13.3%. Gold looks set to make further gains this week, following the coordinated action by the central banks, which makes it cheaper for other countries to borrow dollars, and the slight reduction in the US unemployment figures.
The slightly more encouraging economic news seems to be making investors feel more comfortable about buying precious metals, particularly gold. We are still, therefore, seeing gold acting as if it were a risk asset rather than a safe haven. Yet the central banks' action is tantamount to quantitative easing, not to mention that few people have much faith in the future of the euro. When currencies become devalued, then gold is the safe haven of choice, having been proven, times many, to hold its value. It consistently outperforms every other asset apart from oil, particularly during times of economic crisis. Gold has an intrinsic value and is easily tradable. As such, it provides investors with a safe alternative to currency.
"Common wisdom is that at least 10% of a portfolio should be in precious metals," says Bill Hionas, CEO of Pan American Metals of Miami. "Portfolios that contain precious metals regularly outperform those that do not."
As investors nervously await the outcome of the European summit meeting on December 9, gold should continue to inch its way upward. Pan American Metals of Miami trades in gold, silver, platinum and palladium.
About us:
Pan American Metals of Miami, LLC is a group of traders, investors and account executives that combines 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.comet
Website: http://www.panamericanmetalsofmiami.com |
