December 19, Daily Gold Prices Update

December 19, 2008 – Gold prices fall today for the second day as the Dollar rises against the Euro due to deposit rate cuts and lending rate lifts by the European Central Bank. It looks like gold prices may remain stable until the end of the holidays and current expert projections are putting the medal at around $900 per ounce by the beginning of next year. The current gold spot price is $837.10 per ounce, a $16 drop for the day. Although gold has dropped a bit but still 13.91% up for the month and 4.49% over the year. Not bad when investor’s savings are making a mere 2% annually without the safety of having a physical asset that is yours are right. Commodities in general are slowing down a bit for the holiday season and we’re seeing dramatically lower oil prices come down to $34 per barrel, which is its five-year low and many oil analysts are saying that $25 per barrel is a serious possibility.

The United States currently has 4,384,000 Americans unemployed, which is almost half of the unemployment levels seen during the beginning of the Great Depression. Pres. elect Obama hopes to bring faith back to Americans with a planned stimulus package of 675 billion to 775 billion that will be evenly spread out over a two-year period to help strengthen the economic structure of the United States, which of course would benefit global economy as well. If this were to happen then we could see light at the end of the tunnel but being more than $10 trillion in debt makes this a very unlikely possibility. All we can really do as wise investors is monitor the United States dollar and preserve as much wealth as we possibly can with gold as our backup plan. I wish you an excellent weekend and a beautiful holiday season!

Arthur McGuire

Senior Staff Writer – Certified Gold Exchange