Think of buy gold San Francisco and it is natural to be reminded of the Barbary Coast, the City's Red Light District during California's Gold Rush of 1948-1855. Miners would rush to exchange their bounty for girls, booze and card playing. It is interesting that the Golden Gate, the inlet leading from the Pacific Ocean into San Francisco Bay, had received its name two years before the Rush even started, by John Fremont.
People buy coins or bullion as an investment when the value of the US Dollar on the currency market down. Governments can print more money, but they cannot create more of the precious ore. As a rule of thumb, there is an inverse relationship between the price of precious metals and the value of the US Dollar.
If the Dollar goes up in value, the price of the precious ore goes down. If the Dollar is down, then the price of tends to go up. However, the strength of the US Dollar is only one factor that determines the price of precious metals.
The true demand for a precious metal may, itself, go up or down. Their value is measured against six specific currencies including the US Dollar (USD), UK Pound, Euro, Swedish Krona, Swiss Franc and the Japanese Yen. If the ore goes up against all of these currencies, then it is reasonable to conclude that its true value has increased.
If the price of gold is lower in the other currencies than it is in US Dollars, this is a sign that the metal has gone down in value overall. Since the price is generally quoted in US Dollars, the value of the commodity only looks like it has gone up.
Before making adjustments to any investment portfolio, it is wise to do a bit of homework and consult one or more experts in this field.
People buy coins or bullion as an investment when the value of the US Dollar on the currency market down. Governments can print more money, but they cannot create more of the precious ore. As a rule of thumb, there is an inverse relationship between the price of precious metals and the value of the US Dollar.
If the Dollar goes up in value, the price of the precious ore goes down. If the Dollar is down, then the price of tends to go up. However, the strength of the US Dollar is only one factor that determines the price of precious metals.
The true demand for a precious metal may, itself, go up or down. Their value is measured against six specific currencies including the US Dollar (USD), UK Pound, Euro, Swedish Krona, Swiss Franc and the Japanese Yen. If the ore goes up against all of these currencies, then it is reasonable to conclude that its true value has increased.
If the price of gold is lower in the other currencies than it is in US Dollars, this is a sign that the metal has gone down in value overall. Since the price is generally quoted in US Dollars, the value of the commodity only looks like it has gone up.
Before making adjustments to any investment portfolio, it is wise to do a bit of homework and consult one or more experts in this field.
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