Sep 9, 2011 1:53 am
If you were concerned that a recent dip in gold prices were going to affect you or your local NYC gold refinery, you need to find more relevant things to worry about. This week as most economists and market watchers should have expected gold once again took a bounce back upward. The recent ups and downs of the market not withstanding gold has actually had a fairly stable value recently. This is no small feat during such economically tumultuous times.
Part of the reason for the rallying price of gold was investors wariness about holding assets they see as risky. In particular this referred to stocks which have been unsettled for quite some time now and show no sign of calming down anytime soon. Gold also seemed a safe bet in advance of speeches by Fed Chairman Ben Bernanke and President Barack Obama.
Obama's speech tonight is set to present a plan for job creation and deficit reduction to a special session of Congress. Bernanke's speech, as always when it comes to markets, is likely to have even more of an effect as investors will look for clues as to the Fed's future economic stimulus intentions. Either way the tumult is luckily not playing out at New York gold refineries where prices are stable and business is, relatively, booming.