Gold Still St ruggling To Behave As A Safe Haven Says Pan American Metals Of M iami (1888PressRelease) Gold finally sees safe-haven demand returning.
(1888PressRelease) MIAMI, FL - It seems we are finally seeing some safe-haven demand for gold bullion and coins, even though the price remains relatively low. Gold has decreased in price recently as it has been behaving like a risk asset and moved in tandem with the economic news, the stock market and the euro. Meanwhile gains have been capped by a strong dollar. Yet we would expect gold to be in demand as a safe haven, considering the economic turmoil currently taking place in Europe. Finally, the market is seeing increased demand for gold bars and coins. Despite some healthy corrections, gold has still outperformed the equities market consistently since July and BNP Paribas forecasts the price to average $2025 an ounce in 2012. "It has been a puzzle to many market analysts as to why people are choosing the dollar over gold as a safe haven," says Bill Hionas of Pan American Metals of Miami. "Traditionally, gold has provided the ultimate protection in difficult times and it is curious that, this time, it has been acting more like a risk asset. Certainly some of the decline in price has been due to gold being sold off to cover losses elsewhere; ironically gold has been chosen simply because it is the bestperforming asset and therefore the most profitable to sell." A combination of concerns over the future of the euro and rumors of further quantitative easing in the US seems to have finally caused investors to return to gold as a safe haven. About us: Pan American Metals of Miami, LLC is a group of traders, investors and account executives that combines many years of experience to help clients invest in bullion. PAMM provides an individual investment service and is based in Miami, Florida for convenient access to both North and South American investors. Website: http:/ /www.panamericanmetalsofmiami.com Press Contact: Debbie Bailey Executive Administrator Pan American Metals of Miami, LLC Email: dbailey ( @) investpanam dot com Website: http:/ /www.panamericanmetalsofmiami.com Trackback URL: http:/ /www.1888pressrelease.com/gold-still-struggling-to-behave-as-a-safe-haven-says-paname-pr-354349.html ###
Published on Nov 29, 2011