“Mother of All Bubbles” Keeps Gold Appetizing

Sinking USD could mean more gold gains

gold bubble-1

After reaching optimistic heights after the November election, the U.S. dollar has been on a near-constant downward trajectory, recently hitting a 13-month low.

The ongoing concerns over the Trump administration, including an inability to pass key legislation and the passing of questionable decision, promises to keep the greenback in its bear market. As investor and CEO Frank Holmes explains, gold has already gained 8% year-to-date in good part due to the sinking dollar, which is why he believes that more gains are almost guaranteed.

The rally in gold is especially impressive, says Holmes, because of both the stock market’s gains and rising interest rates. The fact that gold can post gains in these circumstances means good things for the metal in the near term, especially considering the result of the Fed’s latest meeting, in which the central bank sounded some dovish tones on interest rates.

UBS also sees good things for gold in the short term, with analyst Joni Teves pointing to India as once again being a major driver for gold demand. Teves explained in a note that a good monsoon season in the country, which imported 525 metric tons of the yellow metals in the first half of 2017, could push demand to a new record high by the end of the year.

Yet Holmes sees gold’s long term as even more encouraging due to an important factor: the mounting levels of global debt. Out of all the risks that strengthen the case for gold, the rising debt ceiling is among the most concerning – global debt has now reached $217 trillion, a massive increase over pre-crisis levels of $150 trillion.

With global debt amounting to 327% of the world gross domestic product, paying down looks less and less likely. Holmes points out that some are referring to it as “the mother of all bubbles” and reminds us that the previous two bubbles, which were mild in comparison, poured over into crises.

Another massive risk on the horizon is the sharp rise of global pension levels, with unfunded pensions expected to reach $400 trillion by 2050. When one adds curbed population growth to the mix, any improvement in economic growth seems unlikely, especially considering how ineffective central banks have been in promoting it. Monetary easing, Holmes notes, is precisely what brought on rampant borrowing across the globe.

With another crisis potentially in the works, Holmes finds the case for gold to be stronger than ever. He asserts that the metal shines brightest in times of turmoil, so savvy savers would do well to waste no time ensuring that a portion of their savings is protected against the coming tide.


Ron Paul Says a 50% Rise in Gold Could Happen

A correction in stocks could result in a substantial rally in gold

Ron Paul not surprised if gold rises

With the stock market in the midst of the second longest bull market ever, soaring for eight years, numerous analysts and pundits have been predicting a major correction for some time. Former congressman Ron Paul’s outlook for the market is particularly grim, and he expects not only a sizeable adjustment in stocks but a rally in gold of an even greater magnitude.

“If our markets are down 25% and gold is up 50% it wouldn’t be a total shock to me,” Paul told CNBC, adding that things could go south as soon as October. His prediction for gold is $1,867 an ounce, not far off its all-time high from 2011. The famous libertarian’s forecast is precisely in line with his thoughts from a year ago, when he offered yet another bearish outlook on stocks and warned investors to brace for impact.

Back then, Dr. Paul singled out artificially low interest rates around the world as the most likely catalyst behind a financial catastrophe. Today, he remains firm in his belief that the Federal Reserve kept interest rates too low for too long and is now haphazardly trying to remedy the situation through ill-advised rate hikes.

Although both the S&P 500 and the Dow have experienced considerable gains since his interview a year ago, Paul sticks to his forecast and explains that the rally is merely on borrowed time. “People have been convinced that everything is wonderful right now and that stocks are going to go up forever,” said Paul of the ongoing rally. “I don’t happen to buy this. The old rules always exist, and there’s too much debt and too much mal-investment. The adjustment will have to come.”

Aside from his ongoing criticism of the Trump administration, Paul – who was among the “Trump rally’s” staunchest detractors – is also outspoken in his lobbying against the Federal Reserve, arguing that the central bank and its policy makers never really have a grip on the situation and are merely experimenting with different ideas.

After almost a decade of loose monetary policy, the former U.S. Representative believes there’s plenty of room for the Fed’s hiking campaign to harm the economy and plunge the prices of multiple assets. “I think it’s a very precarious market, and the Fed better be very careful. Since they are incapable of knowing what to do, I don’t expect much good to come out of anything they do,” said Paul. “There are so many mistakes made out there that the correction is almost unlimited.”

Major Traders see Long-Term Upside in Gold

Gold Could Reach New Heights Despite Hawkish Fed

Traders see long-term upside to gold

Gold reached $1,295 an ounce earlier this month before an optimistic message by the Fed sent the dollar rallying. Despite Janet Yellen’s hawkish statements, which promise an additional rate hike this year, some traders believe that the metal still has plenty of potential to pass the key level of $1,300.

TJM Institutional Services’ Jim Iuorio isn’t discouraged by the Fed’s hawkish tone and expects gold to do well in the near future. Speaking to CNBC, Iuorio focused on the ongoing trend of weak economic data, including a series of disappointing job reports.These factors should put of pressure on the dollar and move it lower, asserts Iuorio, which he believes in turn would boost gold.

Before the Fed’s recent announcement, the greenback reached its lowest level since last November’s election, as Washington has become embroiled in drama and the Trump administration’s ability to deliver on promises has been placed into question.

While the metal has been momentarily set back, Iuorio said that the long-term case for gold remains solid and thatpeople should focus on its strong fundamentals instead of the occasional slump. “I’m a longer-term bull in gold and if you look at the long-term chart the trend is still higher,” said the trader.

One of those strong fundamentals is the recent overhaul of India’s gold tax, which could have a significant impact on gold prices. Until recently, India had over a dozen levies controlling the importing and distribution of gold, giving rise to smuggling and tax evasion on a large scale.

The government chose to replace these levies with a single tax called the Goods & Services Tax, meant to improve transparency in the country’s gold trade. Many feared that the tax would be placed at 5%, as was the initial prediction, which would have increased the taxation on gold jewelry from its current state.

However, the government recently announced that the Goods & Services Tax, which rolls out on July 1, will be a fixed 3%. Path Trading Partners’ Bob Iaccino believes that this will have a positive impact on gold trade in the country that continues to assert its spot as the world’s top gold consumer. The trader said that the tax could drive jewelers and retail investors to buy gold, causing prices to rise as a result.

Aside from making gold supply more transparent, the tax also stands to boost India’s economic growth, giving another upside to the yellow metal.

Ben Shapiro Gold Investment Company of Choice is Birch Gold Group

Offers endorsement of the precious metals company

Ben Shapiro gold

Ben Shapiro is known for going against the grain when necessary, even if mainstream opinion swings strongly in the other direction. The New York Times bestselling author has stuck to his roots of bringing the truth to the American people, whether it’s on the topic of politics, education or finances.

In an age where equity markets are getting the spotlight, Shapiro’s endorsement of Birch Gold Group as his precious metals company of choice is a telling sign of his financial beliefs as well as an indicator of what could make for a truly prudent investment in today’s economic climate. The host of the Ben Shapiro Show knows that stocks come and go, yet physical precious metals stay; an investment in gold and silver is a move for the past, present and future.

Today, maybe more so than ever, the argument for safeguarding your savings with precious metals is a sound one. A brief glance at most corners of the world will reveal an ever-increasing amount of turmoil and uncertainty, which act as a natural call towards the safety of gold. Yet one hardly needs to look past American soil to see why nearly everyone should consider placing some physical precious metals in their portfolio; the constant loss of the dollar’s purchasing power alone is enough reason to compel most people to own gold, regardless of their age or size of their savings.

Working together since 2016 to educate Americans on the true value of gold and silver, Birch Gold and Ben Shapiro have helped to communicate to people the importance of moving away from risky and volatile investments into those that can help to safeguard and diversify your wealth.

For the millions of Americans who have a large part of their savings stowed away in an IRA or 401(k), Shapiro offers clear, down-to-Earth explanations for why they should consider making the safe transition to an IRA backed by physical gold and silver, without any tax penalties.

If you’d like to learn more about gold, an asset that will always hold value, you’d be well served to listen to the Daily Wire Editor-in-Chief’s podcasts, and also read Birch Gold Group’s frequent articles on its website. No matter where the economy goes and how the politics of the nation change, gold and silver are assets that you may never regret purchasing.

Silver Twin Maples Coin Available Exclusively from Birch Gold Group

2 oz Canadian Silver Twin Maples is the Evolution of the Silver Maple Leaf

Canadian Silver Twin Maple

It’s safe to assume that not even the Canadian Royal Mint could predict the popularity of its 1 oz Silver Maple Leaf coin when it was first minted three decades ago. While its initial year of distribution saw just over a million units made, in recent years, the Royal Mint has been creating between 20 and 30 million units each year, proving that people worldwide continue to have an insatiable appetite for sound investments.

Given the tremendous demand for the remarkable bullion coin, the Mint decided to create a follow-up that is equally as impressive. The 2 oz Silver Twin Maples coin, distributed exclusively by Birch Gold Group, is the latest invention to come out of Canada’s mint, and it could prove to be every bit as popular as its predecessor.

With the ever-increasing industrial demand for silver and the ongoing difficulties of finding an asset that can help to safeguard your hard-earned money, many people will find it appealing to add some of these Canadian Silver Twin Maples to their savings.

Containing two ounces of silver, the Silver Twin Maples coin establishes itself as a worthy successor to the Canadian Silver Maple Leaf (also sold by Birch Gold Group) without compromising what made it a premier investment around the globe. The iconic portrait of Her Majesty Queen Elizabeth II by Susanna Blunt is still on the obverse, making the coin easy to identify with just a quick glance. The reverse has seen a stylistic addition, with Celia Godkin designing a maple leaf that honors Canada’s native maple and ingrains the country’s identity into every coin.

The fine surface has also seen the addition of two security measures in the form of precise radial lines and a micro engravement of a maple leaf. Together with the unique weight of 2 ounces, these measures will guarantee easy verification of every Silver Twin Maples coin. Finally, when you add the fact that the coin is eligible for placement in Precious Metals IRAs, it’s clear that the Silver Twin Maples coin will establish itself as an excellent option to add to savings of any size.

To learn more about the 2 oz Canadian Silver Twin Maples Coin and how to purchase it from Birch Gold Group, click here.

Buying Silver – What you Need to Know

Buying Silver – What you Need to Know

How much do you know about silver? If you are considering adding silver to your savings, here are a few things you need to understand before doing so.

Anyone interested in purchasing precious metals would be well-advised to consider all of their options. While gold is an excellent addition to your savings, it is also important to understand the value of alternate assets. Silver is a fantastic, and yet commonly undervalued, commodity.

While gold is the most glamorous of the precious metals, silver has both an aesthetic and a practical luster. Its industrial and technical applications are vast – it is an essential element in diverse manufacturing and medical uses. Electronics production, paper processing, water sanitation, food production, solar energy, nuclear energy, and aeronautics are only a few industries that require silver.

From a financial perspective, buyers should be aware of the numerous factors that influence the value of silver. If you’re interested in buying silver, you have to know the importance of spot price.

What does “spot price” mean?

While knowing the spot price of silver – or any precious metal – is essential to making the best purchase for your financial goals, spot price is a commonly misunderstood concept.

Silver spot price is the price of silver right now. It fluctuates constantly, since it is based upon the value of the metal in a particular currency upon immediate delivery, and it often changes during the length of the transaction process.

Spot price is largely influenced by futures contracts. Futures contracts are the agreed-upon prices for future delivery of a certain commodity. Once the product is delivered, both the buyer and the seller adhere to the contract price regardless of whether the market value rises or falls. The formula for determining the spot price calculates the dividend and interest rates, the futures market, and the days before futures contracts mature, as well as geopolitical events, and actions taken by the Federal Reserve. Additionally, supply and demand greatly impacts the price of silver, so when innovations in technology or industrial demands require the acquisition of silver for utilitarian purposes, the price increases.

The largest silver markets are the London Bullion Market Association and the North American markets. Different global markets can set different prices, but they are chiefly based upon the physical bullion prices set by the London Bullion Market Association and North American markets.

Are the prices of silver and gold related?

In addition to being different elements, gold and silver are priced based upon different factors. While the price of precious metals in general tends to rise and fall relative to the value of the dollar, the prices of gold and silver do not necessarily move up or down in concert; their values will occasionally diverge. Gains in silver value are more closely related to worldwide consumption (due to its greater industrial utility), while gold prices tend to move based upon its accumulation by central banks. However, buyers determining the best time to buy silver will sometimes consider something called the gold-silver ratio.

The gold-silver ratio is the number of ounces of silver it would take to purchase 1 ounce of gold. As of April 11, 2017, the spot price for silver is $18.07, while the spot price for gold is $1,256, so the gold-to-silver ratio is 69:1 – it would take 69.5 ounces of silver to buy 1 ounce of gold.

Fundamentally, both precious metals have a very long history of being stores of value, and while their values might not rise or fall together, they typically do move together.

What is the best way to buy silver?

When acquired as a physical asset (as opposed to on paper), silver has many benefits. However, when it comes to purchasing the physical metal, different mediums have different advantages and drawbacks.

Bars: Precious metal bars, whether they are silver, gold, platinum, or palladium, are rectangles of metal that are produced by private and some government mints in various weights. Bars can be purchased singly by the ounce – from one, all the way up to 1000 ounces.

Many buyers favor bars over coins due to ease of storage, inventory, and transfer. They can be stacked efficiently. They also tend to have the lowest premium (the price dealers charge over spot). However, while large bars will have significantly lower premiums than small bars or coins, they are more difficult to liquidate. Moreover, bars aren’t considered collectable, since they are essentially unadorned pieces of metal.

Coins: Coins are produced by government mints and have the status of legal tender. They can be obtained in pure metal weights of one-tenth, one-quarter, half-ounce, and full ounces. Some types of coins are not only valued for their weight in the precious metal. For example, some proof coins (coins that were struck to test the dies) and uncirculated coins can become collectable over time, but by in large, bullion coins are largely valued for their metal content.

Buyers might favor coins because of their relative ease of liquidity – unlike bars, they come in weights small enough to make sales convenient in the event of an emergency. But the premium is generally larger for coins, so buying 1 ounce of silver in coins will usually be more expensive than buying one ounce of silver in bars.

In addition to deciding which form of silver will best suit your needs, it is also important to consider whether you want to buy and hold the metals yourself, or possibly place them into a precious metals individual retirement account (IRA).

A precious metals IRA is what’s known as a “self directed” IRA – it allows the account holder to keep assets that aren’t typically held in traditional IRAs, including real estate, stocks, bonds, mutual funds, corporate debt, trust deeds, and mortgage deeds. Opening a precious metals IRA (or rolling over an existing IRA or 401(k)) helps you to not only diversify your portfolio, but gives you a tax advantage otherwise unavailable to you if you were to simply purchase your silver outside of the retirement account.

However, owning precious metals in an IRA means that the store of metal must be kept by a specially-appointed trustee.

Why should I buy silver?

Precious metals in general are excellent safe haven assets. People who are wary of putting their faith – and future – in a highly unstable stock market may find precious metals an excellent option for long-term financial security. However, silver in particular offers unique benefits.

Adding silver to a portfolio can offer considerable financial advantages. It requires substantially less capital than gold or platinum, and yet it has significantly more uses than most precious metals.

Here are a few more reasons why it may be a good idea to buy physical silver.

The dollar is weakening. There is a strong possibility that the price of silver will rise due to the reduction of the value of the dollar.

You have a tangible asset. Paper assets can become worthless overnight, and hackers can compromise seemingly secure firewalls, leaving you with nothing. Owning physical assets like silver ensures you have a durable commodity that will always have value.

Silver is not recycled. Gold can be, and is, recycled with no affect upon its chemical properties, and a huge percentage of the world’s gold currently in circulation is recycled – it is never used up. Silver, on the other hand, must be replenished. Numerous industries require silver; it is not interchangeable with any other natural or synthetic element.

To summarize, buying silver can provide considerable long-term security if you have a clear idea of how it can help you meet your financial goals. To learn if buying silver is the right choice for you and your retirement needs, please consult the specialists at Birch Gold Group for a comprehensive consultation just click here.

Is Your Partner Undermining Your Retirement?

Is Your Partner Undermining Your Retirement?

In general, couples are able to accumulate greater resources and more wealth than single people. However, far too many couples not only fail to save for retirement, they might be ruining their chances for financial stability even if they are saving. Here are a few warning signs that your significant other (or you) could be sabotaging your future.

Unchecked spending.

When one part of a couple has expensive tastes that aren’t supported by income, that can spell doom for retirement. This is particularly true if that person tries to keep their spending a secret. While trust is essential in any relationship, don’t let your trust blind you to a possible financial meltdown. Discuss your spending habits and if you need to scale back significantly. If you suspect that your significant other is spending money on the sly, check your existing accounts, as well as your credit report for new credit cards or accounts that might have opened up.

Taking all (or no) responsibility.

Retirement planning should be a joint endeavor. Don’t do all of the work yourself, and certainly don’t rely on your partner to carry the entire burden. Even if there is a significant income disparity, both members’ active participation could bring numerous advantages, including employer 401(k) matching funds, and tax breaks.

Failing to calculate the goal amount.

What do you plan on doing once you retire? Whatever you decide will let you know how much money you’ll need. If you plan on taking vacations, learning new languages, taking music lessons, you’ll need the resources to cover that in addition to your living expenses. Retirement isn’t just sitting at home – it’s the beginning of a new life!

To learn more about how a gold IRA could help you in retirement, contact the representatives at Birch Gold Group for a consultation. Visit blog link for more information.