Daily Gold Eagle Update

March 18, 2009 - Many investors around the nation have decided to finally buy gold, and lately several of them have been confused due to the fluctuation being seen with the majority of financial markets. Today the spot price of the metal falls below the $900 per ounce benchmark due to an ease in safe haven demand and a rally into unstable investments such as stocks and bonds. This goes to show that even the slightest bit of positive economic data could stir up so much confidence in the United States economy that people actually begin to stray from historically safe assets and into the havoc of mainstream investments that have lost nearly half of their value in the last few years. Yesterday the Standard & Poor’s 500 Index increased 3.2%, and today it slides 1.6% which could be an indicator that safe haven demand may begin in the next few days, rebounding the currently lower than usual spot price. This could be an opportunity to buy gold bars and coins while they are still at this low value before they possibly spike again due to investors rushing back into store of wealth investments.

So far this week has been a slow one for precious metals, yet several investors are still deciding to buy gold because the spot price is currently at $887.40 per ounce, a drop of 3.02% for the day which equals out to a drop of 9.58% for the year. Several market analysts believe that this week would mark the surpassing of the record high set at $1033 per ounce on March 17, 2008, yet unfortunately the increased confidence in the United States Dollar and equities has limited such gains.

Daily Updates Archive

Joshua Harris

Senior Staff Writer – Gold-Eagle.org