Thinking of getting into the Gold Market?! Despite a stronger US Dollar from possible interest rate hikes coming this year there still might be room for gold to recover past its 4 year bear market.
- A brutal four-year bear market . After peaking in 2011 at a price of $1,923.70 per troy ounce, the yellow metal slid down to $1,045.40 late last year.
- The Brexit bumped interest in gold and prices are up about 26% for the year, however, that trickled off following the resignation of David Cameron and the Conservative Party in U.K. moving quickly to appoint a new Prime Minister.
- As always gold is a safe haven for low risk investors to protect value and hedge against more yield bearing asset uncertainties.
- Greater transparency is coming to the market in London by way of the LBMA (London Bullion Market Association) as the London Metal Exchange plan to launch a gold futures exchange. for the $5tn a year gold market in the city.
- Early next year is when Goldman Sachs, LME, and World Gold Council, plan to have their new exchange ready and it is the biggest move for the commodity in ten years with London being the largest physical bullion market in the world.
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