10 Reasons Why Gold Should Break $1000 This Year

Today’s guest post comes from Bruce, CEO of Superior Gold and includes a free silver coin!

For many years I was a successful real estate investor. However, I realized that the market was getting very speculative and decided to get out while the going was good. In 2003, I sold my last investment property located in North Carolina. At the time, I had many colleagues in the tech sector, finance sector and even senior managers at well known companies all telling me of their plans of quitting their jobs and becoming future Donald Trumps.

To many of them, the real estate investment boom would never end. These weren’t small investors who bought a $100k house and flipped it in 6 months for $160k. No, these were very smart guys who were thinking of playing in the big leagues; backing local builder’s subdivisions, buying spec land on beach frontage and getting into the commercial flipping game. Many of these investments had $250k down-payments!

I would be lying if I said that none of them did well. One of my former associates has done incredibly well, and is one of my best clients now. But for the majority of them, the losses in terms of time, money, and piece of mind has deterred them from ever using the words “real estate” and “investment” in the same sentence!

I only bring this story up, because at the time I was 3 years into my precious metals business. I had felt that it was not only a good time be investing in gold, but to become a seller and promoter of gold. As a gold broker I tried to persuade many of my colleagues to diversify their 401(k), IRA’s and savings account into gold. If you think selling houses is difficult today, try to convince an upwardly mobile 30-something that allocating a portion of their earnings into gold was the right thing to do in 2003. My, how things have changed! Gold Bullion is on a tear, rising over 250% from January 31st 2003 to January 31st, 2008. And in 2007 alone, gold rose more than 30%. Not bad for the world’s oldest currency.

I strongly believe that gold will rise even higher this year and that everyone should have a portion of their investments diversified into gold. While I know that not every reader will agree with me, I would challenge you to provide a safer place to store your money in 2008.

Here’s why I think gold will break $1000/Oz this year:

1. Oil prices continue race to peak levels and for the first time in history GOLD has taken a peak road of it’s own.
2. Iraq war will not end in 2008, not likely 2009 furthering your contribution to the war fund by all Americans.
In times of uncertainity, gold always does well.
3. Real estate market has years to recovery, more than likely a minimum of 4-7 years. Yet another sector that faces great uncertainity. Again, bullish for gold.
4. Job losses are continuing to mount in the American market where Corporations continue to outsource American jobs overseas.
5. China and India continue to record a demand for gold as America continues to enrich their economy based on goods made in their country.

6. European Central Banks will not be able to make available GOLD to other foreign countries thereby creating a shortage. By holding onto it,they’re increasing their wealth.
7. The US Federal Reserve continues to deny that inflation exists and in trying to quell to recession,it will be forced to decrease interest rates. This will weaken the dollar, which has an inverse relation to gold prices.
8. The government faces future obligations for Social Security and Medicaid worth $57 Trillion. It is promoting a weak dollar through increased the money supply to make it easier to repay debt.This will also push up the price of gold.
9. Global markets, while usually non-correlated, usually re-couple on the downside. Stock markets are usually inversely co-related to the price of gold. Seeing the worldwide correction in markets last month bodes well for the price of gold.
10. Gold is still undervalued. Adjusting for inflation, it will have to hit $2,300/Oz to achieve parity with the peak that occurred in 1980.

As President of the Superior Gold Group, I oversee a knowledgable and informed team of client specialist. We specialize in assisting clients diversify their portfolios by targeting a healthy 30-40% of their retirement funds and or personal savings into gold and other precious metals investments. Unlike other gold brokers we know that investments come in many shapes and sizes, but we advise our clients to never leave their nest egg in one basket. We would love to discuss how we can assist you. Give us a call at 888.969.6465 ext 102 or visit our site at www.gold101.com.

Clients who get the best results are those that expand their concepts of traditional investing (stocks,mutuals, CD’s, and savings accounts, etc) to include the knowledge of real money (i.e. Gold) and how fiat currencies have historically always led to a countries bankruptcy.

Also, if you mention the Living Off Dividends Blog and request a free information packet on portfolio diversification, we will extend a one-time courtesy gift of a Silver Kennedy half dollar. This half dollar in the early to late 60’s was valued at .50 cents. Today, due to the high prices of silver, it is worth a minimum three (3) to four (4) dollars, making it more valuable than a one dollar bill. How’s that for keeping up with inflation!

Start NOW with Precious metals. Pick up that phone and make the call! 888-969-6465 ext 102.

“Building Wealth You Can Touch With People You Can TRUST! The SUPERIOR GOLD GROUP”

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