The Current Value of Gold Across the Globe

gold We hear a lot about the value of gold, but what are the cold, hard facts? How much is gold currently worth, and what are the predicted trends in gold investing? Let’s take a look at what’s happening with gold.
 
Gold’s Current Value
 
As of September 2016, gold is selling for about $1,333 an ounce. This is a significant rise over its 2015 low of $1,045 an ounce. We can see that gold is rising, and some experts are predicting a multiyear advance in gold prices is in the works. Volatility in global currencies related to the instability of many world governments and international coalitions may be leading to concerns about traditional monetary elements, making gold more valuable. Let’s look at some of the possible predictive trends.
 
Gold-to-Commodities Ratio
 
One potential indicator of the rising value of gold across the globe is the gold-to-commodities ratio, or how much gold is worth relative to other commodities. It may interest you to learn that that ratio has hit an all-time high, jumping more than 7.0. More important than this high ratio, however, is the fact that this represents a breakout for gold vs. commodities in 2016. For the prior five years, this ratio had maintained a fairly solid range of between 3.5 and 6.0, until it suddenly broke out in 2016 and jumped to 7.5.
 
What does this mean? It means while investors were selling virtually all other commodities, they were accumulating gold. The people in the know are transferring their assets from commodities to gold. This is a big potential indicator of a continuing rise in gold prices.
 
Resistance Level
 
Like all investment products, gold does experience some fluctuation. It goes up and down like anything else that is traded. However, over the last several months, gold’s downward trend has encountered strong resistance at the $1,300 level. That is, each time gold tries to decline, it hits a wall at around $1,300 an ounce and bounces back up.
 
If this trend continues, some experts feel it will bounce off that resistance wall and rocket to higher numbers over the next few years.
 
Gold vs. the Dollar
 
Some predictions show the value of the dollar dropping precipitously over the next few years. Comparisons to the fluctuation of the dollar in the 1970′s suggest bad news for the dollar and for the Dow Jones Industrial Index. As we know, when traditional monetary standards and investment products falter, gold steps up. If the dollar does indeed go the way it did in the late ‘70′s and the price of gold responds the way it did back then, we could potentially see gold values skyrocket to $8,000 an ounce. While this may be an overly optimistic prediction, the idea that gold will significantly rise in value as the dollar and the markets fall is a sound one.
 
Investing in Gold Now
 
No one can predict with complete accuracy how financial markets will go. Unexpected factors can arise, and markets don’t always respond to outside forces the way we think they should. However, trends seem to be favoring gold as a rising investment over the next few years, and the sooner you can get in on the trend, the more likely you are to profit if gold does surge as predicted.
 
If you want to learn more about gold or you’re ready to start investing in gold contact Fortress Gold Group today. The experts at Fortress Gold Group can tell you everything you need to know about the benefits of investing in gold and how to get started.

This entry was posted in Economy, Gold, IRA & 401-K Accounts, Money, pension, Physical Gold, Precious Metals, Precious Metals News, Silver, World. Bookmark the permalink.

Comments are closed.