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Archive for the ‘Uncategorized’ Category
Friday, August 27th, 2010
Gold Rushing On
The World Gold Council’s latest quarterly recap of the gold market confirms much of the big-picture story we already knew: demand is strong (up 36 percent from a year earlier), supply (up 18 percent) is not keeping pace, and global economic worries are driving investors toward gold as a safe haven.
Drilling down a little further turns up a number of interesting points:
Investment demand in the second quarter of 2010 (red bar in the chart) more than doubled compared to the same period in 2009, and accounted for more than half of total global demand. Investors bought the most gold since the first quarter of 2009, at the depths of the Great Recession.
Demand from exchange-traded funds rose more than 400 percent to about 291 metric tons (9.4 million troy ounces), and retail investors bought about 30 percent more bars, coins and gold in other forms.
Industrial demand is approaching pre-recession levels. The WGC credits the growing popularity of new consumer devices like iPads, Kindle electronic readers and netbook computers with driving this trend.
Jewelry demand is down only slightly year-over-year, even though the gold price has risen from the $900+ per ounce range to $1,200 per ounce. In Hong Kong, for example, jewelry demand rose more than 30 percent in physical terms and nearly 80 percent in U.S. dollar terms.
The WGC says it foresees strong gold demand through the end of 2010, with India and China leading the way, along with concerns about economic recovery and the massive sovereign debt loads in Western Europe and elsewhere.
So far August has been an unusually good month for gold – as of midday today, the price is up 6 percent this month, where historically the August price tends to rise only 2.5 percent above July.
We recently wrote about gold seasonality – September, just a few days away now, is on average the best month for both gold and gold equities. Learn why September means ready, set, gold!
We also have written about gold in the context of the global economic uncertainty and also about China’s important role in future gold demand.
All opinions expressed and data provided are subject to change without notice. Some of these opinions may not be appropriate to every investor.
by Frank Holmes
CEO and Chief Investment Officer
U.S. Global Investors
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Wednesday, August 18th, 2010
Here is a brief summary of past performance and expected future performance:
Throughout history gold has always been an inflation hedge. Except for a 15 year period during the late 80’s and 90’s when gold was being manipulated, gold has always kept up with or outperformed inflation. During the 70’s (with avg inflation at 7%), gold shot up close to 400%. During the late 80’s and 90’s gold was being illegally manipulated by Barrick mining corp and JP Morgan chase. They prevented the price of gold to respond to any normal market conditions that would cause gold to perform. In short, they kept a lid on the price of gold. It wasn’t until 2002 that this manipulation was brought to light and after a few lawsuits, gold was allowed to respond to market conditions. Had gold been allowed to just keep up with inflation during that time it would be priced near $2,300 today. It has been playing catch up for the last eight years and will continue until it reaches close to that level. This is a major factor. Many analyst recognize this and view gold at $1,220 as being extremely undervalued. Over the last eight years gold has averaged around 20% a year and I along with a lot of wall street market makers expect that to continue over the next five years at least!
Of course, there are other important factors that will help gold achieve these levels aside from just playing catch up. The weakness of the U.S. Dollar, the amount of money being printed that will eventually enter the market, and the poor economic outlook of the U.S. will all be very positive for gold.
There are many more details, I could go over with you regarding this, but you will probably fall asleep half way through. If you find this to be a topic you would like to learn more about, I am willing go over it in detail with you when ever you like. And of course, if you feel comfortable recommending this, and me to anyone, I would greatly appreciate it.
Chris Freret
Audubon Gold Exchange llc.
866-343-4792
www.Audubongold.com
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Wednesday, May 12th, 2010
Wow! Gold is now trading at $1,245 and many analyst are calling for $1,500 in the near future.
Back in December 2009, when gold last traded above $1,200, Common date gold coins had done very well. However, after gold’s pullback to around $1,065 or so in early February, Many common date coins also pulled back. The great thing about older US coins, is they lag behind the price of gold as far as when they respond to spot gold prices.
So as we are seeing record numbers for Gold bullion, generic coins are still a good ways behind. But they are rapidly catching up and it will not be long before they reach and then pass their Dec 2009 levels.
I have recently researched prices for certain common date older US coins in search for any great opportunities to buy behind gold’s recent charge upward. I have compared prices from Dec 2009 to today and would like to share with you what I have discovered;
All of the MS61 thru MS66 $20 Liberty’s and $20 St. Gaudens are undervalued!
$20 St. Gaudens
Grade. Dec. 2009 $ May 12th 2010 $ % undervalued
MS61 $1,943 $1,857 4.8
MS62 $2,106 $1,974 6.7
MS63 $2,298 $2,130 7.9
MS64 $2,604 $2,250 15.7
MS65 $3,222 $2,592 24.3
MS66 $4,350 $4,050 7.4
$20 Liberty’s
Grade Dec. 2009 May 12TH 2010 $ % undervalued
MS61 $2,070 $1,968 5.2
MS62 $2,280 $2,064 10.5
MS63 $3,228 $2,736 17.9
MS64 $4,236 $3,372 25.6
MS65 $6,540 $5,160 26.7
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Thursday, March 18th, 2010
Proof (PF)55 1854-O $3 Princess Trends is $12,500 CU=$11,000 $11,000
NGC PF66 RB 1864 Bronze Indian Head Cent Trends is $3000 in 64 grade, CU=5000 $5,000
PCGS PF63 1865 Seated Dime Trends is $1150 and CU is $750 Old Green Label $950
PCGS PF63 1865 Seated Quarter Trends is $1500 and CU is $1375 Old Green Label $1450
PCGS PF63 1865 Seated Half Dollar Trends is $1500 CU is $1700 Old Green Label $1750
NGC XF45 1795 $ Flowing Hair 3 Leaves Trends is $14000 and CU is $14500 medium $13,750
PCGS AU50 1796 $1 Small Date, Large Letters Trends is $17500 and CU is $18000 $17000 GREAT PRICE!
PCGS MS64 1887/6-O Morgan Dollar Tied finest 126/1 Trends is $6000 CU is $5900 $5,900
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Monday, February 15th, 2010
With all the focus on the poor economy, Gold bullion has performed as expected. Thier have been more new investors in gold bullion over the last two years than any other period.
Because of this, the rare coin market has softened quite a bit in the same time frame. Great opportunities are available at levelss we have not seem in over two years. If you belive the economy is going to worsen and tings will never get better, then your focus should remain with bullion and coins that trade like bullion. If you belive, that one day down the road, we will pull out of this recession, then, you should take advantage of these levels as they will eventually turn upwards.
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Tuesday, December 29th, 2009
Hello everyone!
Wow! Gold has performed very well this year as expected. With the spot price at $1,097, gold has increased 35% from this time last year. And four weeks ago, before the annual sell off buy large institutional companies to improve their year-end performance numbers, gold reached a high of $1,218!
2010 is expected to bring similar performance as all the fundamentals that have been driving gold prices are still very evident. It is very likely, we could see gold approach the $1,500 mark in 2010!
I urge you to take advantage of this year end sell off by the large institutional money and buy on the dip!
Below are some great deals on circulated $20’S.
15-Nice AU $20 Liberty’s @ $1600!
PCGS has AU’s listed for $1,840
12-$20 Libs EF @ $1580!
PCGS has these listed at $1,810
I also have:
1876 $20 Liberty in BU for $1,650!
And
1924 $20 St. Gaudens in BU for $1,650
If you are interested in taking advantage of these levels, please call or email asap as these will not last long.
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Monday, December 28th, 2009
Hello and Happy Holidays from Audubon Gold Exchange!
We hope everyone is doing well and enjoying the Holiday Season. As we come to the end of the year, we are seeing a pullback in the price of gold due to many institutions selling off their holdings in-order to show positive returns for the year. Many analysts think that this pullback will end as the New Year Rings in and Gold will start to climb again, on its way to even higher values than ever before. If you are considering buying gold in the near future you may want to take advantage of this dip before gold starts to move again. If you think the 30% roi Gold performed in 2009 was great, Most analysts are predicting even greater results with Gold presumed to reach $1500.00 and higher before the middle of the year.
Please call us today if you would like a free consultation on how to take advantage of this pullback and get a jump start on gold before the New Year!
Truly,
Your Numismatic Experts
Audubon Gold Exchange
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Wednesday, December 16th, 2009
Hello and Happy Holidays!
I hope you are doing well! I wanted to let you know of our two special offers that will no doubt go fast. We have just come in possession of 14 Au/Bu Liberty $20.00 double eagles and can offer them to you for $1,625.00 each. PCGS has these coins listed for $1840.00 each. These are beautiful coins and will go quick.
We also have 10 PCGS MS61 St. Gauden’s $20.00 double Eagles, all different dates. We can offer these to you for $1805.00 each. PCGS has MS60’s (one grade lower) listed at $1925.00 each.
Please call us today to secure your order as these will go quickly!
Again, I hope you are doing well and are enjoying the Holiday Season
Sincerely,
Audubon Gold Exchange
1-866-343-4792
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Monday, December 14th, 2009
How to Predict the Price of Gold
Jeff Clark, Editor, Casey’s Gold & Resource Report
Long-term readers know that gold moves inversely to the dollar, meaning if the dollar drops, gold tends to rise (and vice versa). This happens with about 80% regularity. But what many gold writers haven’t acknowledged is the leveraged movement our favorite metal has demonstrated this year to the world’s reserve currency.
The U.S. dollar index, a six-currency gauge of the greenback’s value, has dropped 7.8% so far this year (as of December 3). Meanwhile, gold is up 38.7% year-to-date. In other words, for every 1% drop in the dollar index, gold has risen 4.9%. If that approximate percentage holds over time, one can begin to estimate what the gold price might be if you know what the dollar might do.
While the dollar is likely to bounce at some point, making gold correct, the long-term fate of the dollar has already dried in cement. If the dollar were simply to return to its March 2008 low of 71.30 next year – a 4.6% drop from current levels – this would imply a rise in gold of 22.5% and a price of about $1,478 an ounce.
The long-term scenario is more dramatic. If you believe the dollar will lose half its value from current levels, this would imply a gold price around $4,164. If you believe it will lose 75% of its value, gold would reach about $5,642. Doug Casey has called for a $5,000 gold price; if he’s right, guess what that implies for the dollar?
And think about this: these calculations ignore what else might “show up,” such as when price inflation shows up in the economy, the greater public shows up to buy gold, or the Chinese don’t show up at an auction. Could $5,000 gold be too low?
Unless you think the dollar’s problems are solved, its eventual demise is gold’s eventual glory. Prepare, and invest, accordingly.
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Wednesday, November 4th, 2009
Since January, gold bullion has increased 24%. MS62 $20 Liberty double eagles have increased 46% in the last 12 months.
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