Factor affect gold prices

Many reviewers and opinions of experts who classify gold as a commodity that is hard to predict. This is caused by independent gold is a commodity , meaning that the movement is dominated entirely by the market. Typically experts predict the price of gold for the medium or long term , at least not more than 6 months .

Here are some factors which affect the gold prices:

1.Dollar exchange rate strengthened
Generally, the price of gold will increase as the strengthening of the dollar . This is because the price of gold measured against the U.S. dollar .

2 . Uncontrolled inflation
Inflation will erode hard money but does not affect the price of gold . In the situation of rising inflation will cause the value of gold will rise beyond this . Generally, the existence of a psychological 2 -digit numbers on inflation indicates something uncomfortable happens , prices go up . For example in Indonesia by the year of 2009 , gold rose almost 25 % a year , much higher than the inflation rate below 10 % .

3 . Political events of the world
The existence of a conflict involving mainly the middle east countries and the western world as a supplier of Oil , eg Iraq war , the tragedy of the WTC in the U.S. where the geopolitical situation became uncertain , it will be more gold rise in value .

4 . The global financial crisis
When viewed from the economic data , generally the global crisis will occur within 5 years for medium-scale and 10 years for a larger scale . For example, a local crisis in the U.S. in 1970-1971 , world energy crisis in 1980, the Asian economic crisis in 1998, and the U.S. crisis in 2008 . In such circumstances , the price of gold will only go up

5 . The rising price of oil and basic commodities
When viewed in the movement of gold with other commodities for decades , it would seem that the value of both will rise proportionally , meaning that the value of " buying " gold against commodities is always fixed , when world oil prices and basic necessities rise, the value of gold will also rise . This would be very different from paper money .

6 . Rising demand for gold in the local market or the world
In accordance with the law of demand and supply general , the more demand for gold in the local market or the world , it will tend to further increase the price of gold . This is due to the amount of gold reserves in the bowels of the earth will increase as human populations increase . Gold will always be pretty but still ' rare ' , due to mining activities and processing of gold is limited . It would be very unlikely that the excess supply of gold which makes the price will go down .

Advantages of Gold Saving

Every people should have a careful planning well for himself , family , or to the people he loves . And the form of planning is by doing investment . There are many ways to define objects that can be selected investments such as land , houses , gold , stocks , and much more . One promising and is already proven as an object of investment is gold savings.

Savings with gold has many advantages . Gold investment has been made for "old tradition" by our parents or grandmother by storing physical gold . But generally still mostly in the form of jewelry .

For current savings in the form of gold investment gold has done a lot of people and made easier by the increasing number of reliable financial institutions such as private banks or the government , and pawn shops that offer gold savings system . How to invest gold in a bank that is easy , safe , and fast becoming an alternative choice for today's modern society .

Now has many banks that provide gold saving products gold and gold secure storage facilities such as SDB ( Safe Deposit Box ) that you can consider to obtain an explanation and an interesting comparison to the advantages and disadvantages held by these banks. In addition , gold investment can be done by adjusting your financial ability of gram lightest weight to heaviest gram weight.

Reason to make property investment

Nowadays business property may already be familiar among our society . Just imagine , now we can see almost every day diverse product offering property was mediated either print or electronic media . But here I will not discuss what properties of products on offer , but I will review why the property business is very promising for the rapid development and investment .

One of the factors that make the property much in demand is the low level of investment risk that may occur . Although investment is basically impossible risk-free . For more details, I 'll give you a few points why business property is always very promising from year to year .

Three main reasons property business
1 . Its value is almost never down
You could say 99.99 % of investment property values will not go down . As with land , would be very rare to hear that house prices could go down each year . The value of the property is more sustainable , in other words, can survive long term . This is very different from paper assets such as currencies and stocks that are likely to go down even to the lowest point .
However, as explained earlier , the property is not without risk , which may arise when natural disasters or other events beyond our power :)

2 . Using other people's money
Survey says 90 % of people in the rich world have property and land assets everywhere. You can see rich people like Donald Trumph, they all are wealthy businessmen from the property . But does that mean to start a property investment must have a very large capital first. If you read the history of the business property wealthy businessmen , they often just start small compared to the actual capital value of their investment . The answer is simple , we can use other people's money to invest in property . The system 's investments have been made in such a way that allows us to invest the money or use the other party ( generally the Bank ) . If other investments as an example of the stock market you have to pay the whole of the overall transaction , the property in general you only pay 10-30 % of the total price of the desired properties . The rest will be financed through bank loans , and often you can even ask for waivers on the developer to actually you almost do not need to spend money to acquire the property at all !

3 . All people need homes
As the population growth will be more and more narrow ground .
If the economy according to the principles of supply and demand still continues to rise, the prices will go up . Therefore more and more demand for land ( fixed supply ) , the price of land and property will always be getting up .

Hopefully some reviews about Three reasons to choose the property business to inspire you . Please read my other posts on this site regarding investment options .