Why Is Now a Smart Time to Invest in Gold?

 

Gold is a precious metal with a long history of being reliable. It has been used as a mainstay in many countries over the centuries. While the United States is no longer on the gold standard, there are reasons to buy gold now and hold on to it. Check out a few of the best reasons below, brought to you by the professionals at First National Bullion, the best place to buy gold in Carlsbad.


Inflation Is Rising

Current monetary policies have contributed to the increase in inflation. Also, the dollar isn’t on steady ground these days. Nobody knows for sure if or when the dollar will weaken even more or even collapse. The Federal Reserve has responded by keeping interest rates as close to zero as possible. While the economy struggles, people are also less likely to buy things they don’t really need right now. This could slow down the economy even more.

Gold Isn’t a Promise to Pay

If you look at the U.S. dollar bill, you’ll see it’s backed by the “good faith and credit” of the United States government. This is nothing more than a promise to pay. Gold, on the other hand, is backed by its value. You can buy and sell gold anywhere. It’s an instantly recognizable form of currency that’s accepted anywhere in the world. You can physically hold the gold you buy and count on receiving at least the current spot price of gold for your investment if you opt to sell.

Gold Will Likely Increase in Value

Because of the issues discussed above, gold is likely to increase in value later this year or next year. If you hold on to your gold, it will likely be worth more if there’s a full recession later on. It’s also a safe hedge against inflation. Gold prices are already on the rise. There’s only a limited supply of gold in the world. As more people purchase it, dealers will find themselves dealing with shortages. When this happens, gold prices tend to increase. Also, if you wait until later to purchase gold, it may be too expensive for your budget. While you can always buy silver instead, gold is a better investment when it comes to combating inflation and economic issues.

Gold Is Readily Available

Gold can be purchased online or in person. Be careful with your purchases. Only buy from trusted sellers with a good history of offering fair prices and delivery of what was purchased. Stay away from sellers that try to steer you toward gold coins that are “rare” or considered collectable. Gold can be purchased as bars, coins, or ingots. Prices vary based on the gold content and size of the bar or face value of the coin. Do your research first to determine if you’re getting a good deal. Consider working with a financial advisor specializing in gold and silver if you’re not sure where to get started or how much to invest. 

 

Whether they’re looking to buy bars, bullion, or gold coins, Carlsbad residents can trust the reputable dealers at First National Bullion. We’re a boutique precious metals firm with experienced professionals, and we work hard to keep our investors informed with the most up-to-date market intelligence. If you’re looking to add precious metals to your investment portfolio, call us today.

 

The statements made in this blog are opinions, and past performance is not indicative of future returns. Precious metals, like all investments, carry risk. Precious metals and coins may appreciate, depreciate, or stay the same in cash value depending on a variety of factors. First National Bullion does not guarantee, and its website and employees make no representation, that any metals for sale will appreciate sufficiently to earn the customers a profit. The decision to buy, sell, or borrow precious metals and which precious metals to purchase, borrow, or sell are made at the customer’s sole discretion.