Gold mutual funds are gaining attention as a safe-haven investment to hedge against the market volatility 2014 has brought so far.
These types of investments are managed by professionals who analyze and monitor the movement of gold and invest accordingly in bullions and equities.
Here we examine one method for how to invest in gold, using gold mutual funds.
Plus we’ve highlighted a few to get you started today…
Gold Prices per Ounce
A Gold Price History from Nixon to Obama
Analysts look to the gold price history as a tool to make predictions about the yellow metal's direction.
A good place to start when examining the gold price history is the 1970s. Up until the early '70s, gold prices hardly fluctuated by more than a dollar or two.
But U.S. President Richard Nixon, who was in office from 1969-1974, decoupled the dollar from gold in 1971 due to various economic pressures.And this had a major effect on where gold went after that…
Why the Gold Spot Price Is Hovering So Low
Last week, the gold spot price tumbled to its lowest level in four months, to $1,243.00.
Tuesday, the gold spot price hit another four-month low early on, but ended the day hovering around last week's low levels, at $1,245.80. August Comex gold was up $0.90 at $1,245.00 an ounce.Here’s what’s weighing on the yellow metal – and what to watch that could affect gold prices this week.
New Gold ETF OUNZ Offers Something Different to Investors
A new gold ETF, Merk Gold Trust ETV (NYSE ARCA: OUNZ), was launched on May 16, 2014. It seeks to corner an often-neglected part of the investment market: goldbugs who like to hold onto tangible gold.Here’s how this new gold ETF works...
Experts Predict 30-Day Window for Gold
We've been studying the resource markets - and gold in particular - for over 30 years. And have seen almost every cycle the yellow metal has gone through.
One thing is certain in our opinion: International investors, central banks and corporations are all looking to buy gold... And these slow summer months are likely providing the best price.
Asian investors, especially in China and India, are buying coins and bullion like mad. Sales are up 22% annually in China and 52% in India.
Gold analyst Jim Willie put it best when he said: "The migration of gold from West to East is the grand story of the decade." They know, as our dear friend Richard Russell recently reminded us, that gold and international power still go hand in hand.
Beyond the obvious demand, history is also on gold's side. Gold's movements are in line with historic trends, never mind what the no-nothing, hand-wringing Cassandras are saying.
In fact, we believe this is a unique moment in history to get gold on the cheap, and take advantage of before the end of summer.
Of course, the ongoing "tapering talk" from the Fed pushed gold down sharply. That's because if the Fed stops stimulating the economy, an inflationary outcome is unlikely, especially if it's combined with higher interest rates that boost the value of the dollar. That's bad for gold.
What's more, there may be darker forces at work as well. There's a distinct possibility the gold market was manipulated [Editor's Note: here's who did it].
Yet the bottom line is that nothing material changed to justify a $700 drop in gold prices from over $1,903 in 2011 to almost $1,200 earlier this month.
In fact, this 36% fall is clearly...
Read on to see the forecast for gold prices...
7 Reasons to be Bullish on Gold
What's going on with gold prices?
With the price of the yellow metal near two-year lows through much of 2013, some investors wonder whether the price decline will continue.
Is this a bear market for gold or will it rebound?
A new report from analysts at Incrementum AG in Liechtenstein says there are good reasons to be bullish on gold, which was trading Wednesday at about $1,252 an ounce.
In fact, the report, titled "In Gold We Trust 2013," set a 12-month target for gold prices at $1,480 and a long-range target at $2,230.Read More...
Why Gold Prices Are Going Down Today
The answer to why gold prices are going down today isn't hard to find - it's a testament to the power behind Fed Chairman Ben Bernanke.
Comex August gold fell $76.50, or 5.56%, to 1,229.50 in early morning trading Thursday. The August contract traded as low as $1,285.00 in overnight trading as the U.S. dollar rose to the highest in more than a week against six major currencies.
Gold prices plunged Thursday to near three-year lows as precious metals investors took a "risk-off" stance following Wednesday's FOMC meeting. Bernanke announced that the current $85 billion worth of monthly bond purchases could slow near the end of this year, and end in 2014, if the economy keeps improving.
He said interest rates could increase "far in the future."
How to Invest in Gold: Tips from an Expert on the Yellow Metal
Rick Rule, the founder and chairman of Sprott Global Resources Investments, provided the answers.
Rule says he'd put a portion of the money into gold bullion and a portion into gold stocks.
But he warns those unfamiliar with the sector should stick to what they know: If you're bullish on gold, buy gold, but realize gold stocks don't necessarily mirror the price of the yellow metal.Read More...
Gold Prices Are Bargain for India's Consumers, But Problem for Government
The last several months have been tough on gold prices, but gold bugs haven't lost their insatiable appetite for the yellow metal. With gold officially in a bear market, demand is surging at today's bargain prices.
Gold demand is especially strong in India, where gold is the investment of choice among consumers. India's gold imports reached 162 tons in May, almost twice the average level.
That's why last week the country - the world's biggest consumer of gold - increased the duty of gold imports for the second time in six months.
The duty was boosted from 6% to 8% on gold ore, and from 5% to 7% on intermediate products
in attempts to decelerate the accelerating gold demand. Bullion prices fell 0.25% to $1,399.36 an ounce following the move.
Gold imports are one of the biggest contributors to India's mushrooming account deficit (which occurs when imports exceed exports). An increasing deficit affects the country's foreign exchange reserves and the value of its currency.
Friday, the ruppe closed below the key 57 mark against the U.S. dollar for the first time in a year. The slide further casts a shadow on India's economy amid pricier imports and heightened inflationary risks.
Policy makers in India have been attempting to reduce its deficit and improve finances as it faces possible rating downgrades. They hope the duty increase will help.Read More...
Rick Rule Explains Falling Gold Prices
The Federal Reserve and other central banks keep printing money. The U.S. stock market is soaring. And gold prices, after a brief recovery, have continued their plunge.
Are these phenomena connected? We put the question to one of the world's foremost gold experts, Rick Rule, founder and chairman of Sprott Global Resources Investments.
Listen to his explanation for falling gold prices in the following interview.
And even as gold prices sink, mining costs have climbed. If gold prices keep falling, miners could take "fairly drastic measures" to remain profitable, according to Rule.Read More...
With Gold Prices Down, Here's Where the Money is Flowing
As pointed out in a recent article by Money Morning Global Resource Specialist Peter Krauth, there is something interesting happening with gold prices.
Paper gold, controlled by Wall Street, is going down. But demand for physical gold all over the globe is going up every time that gold prices are down.
That's not the only place divergences are occurring in the global gold market. A divergence can even be seen in the difference between Wall Street speculators and commercial interests in the paper gold market.
The speculative momentum players continue piling on shorts, while commercial interests are following a path 180 degrees opposite.
The question remains for those investors interested in gold as to who will be right in the end. The short-term Wall Street speculators or more long-term players?Read More...
- The Love Trade for Gold is Still On! Frank Holmes explains why traditions in China and India will continue to boost the demand for gold. It’s called the “Love Trade”. To continue reading, please click here... Read More...
Why Silver and Gold Prices Are Falling
Metals started the week in the red, leading investors to ask why silver and gold prices are falling today. Money Morning Capital Wave Strategist Shah Gilani joined FOX Business' "Varney & Co." to answer that question.
He told host Stuart Varney about the big trading move that pushed metals down today. He also explained why he would keep buying gold.
Shah also recommended a stock that pays a 10% dividend yield and says the stock will be "safe" as long as the housing market remains stable.
Hear Shah's recommendation and his thoughts on why silver and gold prices are falling in the following video.To continue reading, please click here...