Why buy gold for your Valentine?
The yellow metal truly has a magical aura to it! Who can help but be mesmerised by its timeless charm? Through time immemorial, gold has come out on top as the first choice for a gift that lasts forever. Even more effective than Cupid’s arrow, it never fails to melt hearts. With a New Year around the corner, Valentine’s Day isn’t too far away. So, if you want to really impress the one you love, it’s time to seriously consider turning to gold. As a gift for your loved one that’s also a great investment, you should look at gold bars or gold bullion.
Will 2018 be the year for gold?
Well, some experts seem to think so. Gold has performed well through 2017 and enjoyed a strong rally up until September 2017. In September 2017, the spot price of gold touched $1350 per ounce. From that peak, the yellow metal has settled to price levels of around $1250 as the year draws to a close. So, it looks like we are likely to enter 2018 with gold prices at that level, somewhere between $1250 to $1300. Commerzbank’s head of research, Eugen Weinberg had earlier predicted that this would happen. He also believes that gold prices will touch $1400 per ounce in 2018. Strong physical buying from India and China have held gold prices up through 2017 and Mr Weinberg believes that apart from physical buying, gold futures trading will be an important factor in 2018 for a gold rally. In addition to demand creation by gold buying communities, investors looking to hedge risks or invest in a safe asset class is also a catalyst for keeping gold prices upbeat. Other factors that could well affect gold prices in 2018 include geopolitical risks that could have an adverse impact on the global economy, which could well bring investors running back to gold.
Earlier in 2017, we witnessed that a FED interest rate hike of 25 basis points triggered a rally in gold. Many considered this unusual, as an interest rate hike would have investors buying back into the US Dollar and ditching their positions in gold. However, in this case, what really happened was that investors with deep pockets had taken long positions on the dollar and short on gold. When the interest rates went up, they simply closed out their trade positions by selling the dollar and putting that money back into gold. So, we could witness a similar scenario again in 2018.
Talk to us before you buy your Valentine’s Day gold
As we enter 2018 with a positive outlook for the yellow metal, you can’t go wrong on buying gold as a gift for your Valentine. Whether you’re considering buying gold bars or a set of gold coins, our experts at Physical Gold are the right people to advise you. We pride ourselves on our customer service and have guided many customers over the years on making the right choice when buying a gift that’s elegant, impressive and a sound investment. Call our team on 020 7060 9992 and discuss your investment options and they’ll ensure you make a purchase that will sweep your Valentine off her feet with a memorable purchase that will be remembered in the years to come.
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