Now is the perfect time to start making a significant in physical gold. Not only that, but now is the ideal time to make such an investment using an IRA account. With the yellow metal hovering around a one year low and over 40 percent off its all-time high, patient investors could potentially be rewarded handsomely.
Gold prices have been in a downtrend for several months after breaking lower from an extended trading range. Although the market could be at or near a long-term bottom, there is no telling if such a bottom has been reached yet.
There are several factors at play currently that could indicate that right now might be the best opportunity to buy the yellow metal. These include:
Risk of Recession: The U.S. economy has been humming along nicely. As it continues to expand, the Fed is cognizant of the potential for overheating, and will therefore look to keep growth in check using its primary monetary policy tool of interest rates. As the expansion gets longer and longer n the tooth, and as the Fed looks to hike rates, the risk of recession could be on the rise. This time around, however, the central bank may have far fewer tools at its disposal to fight the next recession, which could prove to be significantly deeper and longer.
The Dollar Resumes its Long-Term Downtrend: It has been a big year for the dollar without question. The greenback has gained against many major rivals as the U.S. looks to normalize monetary policy and as recent tax cuts and increased government spending give the economy an extra boost. The dollar has been moving higher as gold has been moving lower-and this is not by coincidence. Underneath all of the recent economic strength and optimism lies an undeniable fact: The U.S. is awash in debt and the dollar has lost the majority of its value over the decades.
Geopolitical Risks: The globe has plenty to worry about right now, and many of these issues are potential powder kegs that could send investors running for the exits. Nuclear weapons capabilities in North Korea, Russian election meddling, The Iran Nuclear Deal and a potential trade war with China and others could all potentially send global financial markets into a major tailspin. Should any one of these issues escalate significantly, investors could go running for the perceived safety of gold and other hard assets.
Risk/Reward: Consider this: The stock market has risen by several hundred percent since the Great Recession of 2008/2009. In fact, the market have been setting fresh all-time highs, and some analysts are once again calling the current state of investment euphoria a “bubble.” Gold, on the other hand, is nearly 50% off its previous all-time highs. Now ask yourself this: Would you rather buy assets that are potentially highly discounted or assets that may be greatly overvalued? Enough said.
With a global sea of debt, rising inflation and weakening fiat currencies, the current price of gold may not be seen again. Opportunity is knocking, and it usually only knocks once before passing you by.
Building a significant allocation in this key asset class has never been easier than it is today. In fact, all you need to do is pick up the phone and speak with an Advantage Gold representative. Our account executives will answer any questions you may have about investments in gold, and can even show you how easy it is to build an allocation in gold using your IRA account.
Don’t wait for the next major stock market collapse or for gold to reverse course and head sharply higher before acting. Explore your options for gold ownership today. Call Advantage Gold at 1-800-341-8584 to get started now.Tags: advantage gold, dollar index, gold, iran, north korea, recession, russian eleciton meddling, trade war