Sep 23, 2011 2:57 am
Many have warned of a down swing on gold for some time but it seems every time financial analysts count the gold market down, generally when it takes a brief dive for some sort of political maneuvering, it bounces right back up. The gold market was dealt another set-back this morning as gold prices slid behind the dollar due to announcements of the Feds new "Twist" plan.
As is always the case, any action Ben Bernanke and the Fed chose to make towards propping up the value of the dollar and reassuring markets generally comes down negatively for gold prices. Yet seemingly every time this occurs a few weeks pass by and the gold market has completely rebounded and in many cases out done previous highs. It is a trend of three steps forward, two steps back then four steps forward and it has been a boon to NYC gold refiners. Buying and selling gold currently offers a fairly reliable return on investment in spite of occasionally hiccups.
Gold refineries in New York and globally, not to mention gold investors and sellers, have ridden this occasionally bumpy road and in the long haul come out on top. Even with today's slight set back it would be a fool's bet to count gold out.