, IncDecember 11, 2009 – The low gold price of $252 in 2001 was the start of a growth trend for gold bullion and rare gold coin prices that has intensified as our recession has worsened. No one knows in what direction the gold spot price will move next, but spot gold has increased 450% in the last eight years and our government hasn’t even started to raise interest rates. The low gold price of the last four weeks was reached today, and gold’s current value of $1016.70 per ounce is $110 lower than the gold spot price of a week ago.
Gold’s spot value reached an all-time high of $1226 a month ago, but the low gold price of this week was the direct result of a stronger ZUS dollar and renewed confidence in US stock indexes. Much of the economic data recently released by White House economists forecast a better economic situation for the United Sates, but the counterargument is that our financial markets have only been boosted by intentional government manipulation of the monetary supply. Both sides are fully convinced of their own respective opinion, so you have to look at the facts and decide for yourself if the economy is going to improve or worsen.
If you believe that our economy is in a recovery stage, then the low gold price will probably get lower in your mind. If our government keeps a lid on inflation and improves consumer confidence, gold prices will likely fall.
If rising interest rates spark inflation, and if Americans continue to distrust US stock and real estate investments, then gold prices could rise in a pattern similar to those of the 1930s and the 1970s. For more information on gold price fluctuations, contact GoldPrice.net directly or browse through any of our helpful and informative tutorials below.
Stewart Lawson
Senior Staff Writer - GoldPrice.net
