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Sunday, June 12, 2011

Silver Prices, Gold Prices, & Silver Dollar Values Positively Will Benefit From Global Catastrophes

Gold & Silver prices will profit vastly from global disasters, inflation, the worthless US dollar, & the doubtful values of US Treasuries. Watch for huge increases in the prices for silver & gold. Silver dollar values seem like great investment...


Jun 11, 2011 – It is likely to take quite a few weeks or perhaps months to get the complete effect of the disaster in Japan. The initial surge in volatility will probably pave the way for particular opportunities in precious metals and beyond. Any momentum coming from a restored interest in commodities as the country rebuilds will carry whatever trading is not boosted by fears of the complete score of the disaster. It may not occur right away, but the world’s third largest economic climate will renew itself like a phoenix and until then there is huge demand possible in these markets. Perhaps not an increase in jewelry buying or anything that might be deemed a frivolity, but investment decision demand and supply creating ahead of the demand renewal might add a great deal of support to these market segments and much more. 

The S&P index is in a plummeting trend and just lately tested another level of support. It’s ugly and could easily get much uglier. It’s now lost all it’s gains for the year and is today negative. The main message I would like to get across today is that no one knows what is occurring for sure in regards to the nuclear plants in Japan and as a result you should go into capital preservation approach. 

In the last 12 months Japanese stock index lost 191 points but recall that the Bank of Japan has injected $688.3 billion into their marketplaces over the previous three days. The US is only inserting $600 billion over months, not days in the form of their QE2 programs. That amount of money was inserted and still the marketplaces were obliterated and are down sturdily still even with yesterday's healing. The fact is buyers aren’t presently there, other than newly injected support funds, but selling has subsided for now at least. http://silver-dollar-values.net has all the details for a precious metals investing decision. 

The initial driver for investment in commodities is prone to come following this round of sell-offs that seems more liquidity based than basic in nature. It seems as though the sparks to this flight from stocks and commodities was arranged as investors searched for cash. Nevertheless, a shift is most likely just around the corner as the traditional haven status of markets like gold will take hold. To bolster this move, it's also feasible that the reconstructing of Japan could hold more possible for another bull run in commodities, especially precious metals. 

The so-called commodity super-cycle was already underway, supported by the urbanization of nations like China and India. That additional consumption and commodity demand was only weakly fulfilled by increased yields and production for certain commodities. Sure, economic slowdowns may have put a stop in some of these market segments, but where that bearish argument dead ends, a bullish argument for the investment side of the exact same commodities picks up.  

Investors who were uncertain about the future of some stocks and some currencies sought an alternative asset in gold and bonds as a means of possible asset preservation. Does that dry up when disaster strikes? Perhaps initially it will, but there is a long road ahead for Japan and the world markets. While certain things like oil and perhaps even precious metals will have a neutral to negative demand in the devastated nation, the potential gains in consumption on the path to recovery and after have historically balanced that picture. 

Now is an appropriate time to invest in precious metals by buying gold and silver to protect your wealth. I prefer to hold silver coins and gold coins myself for safety. Gold and Silver prices are still relatively inexpensive today.

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