Gold is a good bargain now?
May 30, 2014 Gold Futures closed today at 1246 and it keeps moving down for the last over 7 months. It is the time for gold to shine again for many reasons.
When Fed announced that they are going tapper down the bond buying programme (QE4) slowly in the coming months, everyone knows that the interest rate will go up. Whenever there is a simple math that "everyone" knows, then the market will do the otherway around. In this scenario, the interst rate should keep moving up with Fed announcements. But it keeps going up to knock out the novice investors and sometime it refers to Market Manipulation. When the novice investors comes out with huge loss, then the interest rate will shoot up. It does not mean that math is not correct. It is correct but will happen in couple of months before of after and not the time when every one knows the fact.
In the same way, almost all people do think that Gold will go down because when Fed starts rising the interest rate, Gold price can not move up. But when the Fed is too close to rise the interest rate, there will not be any negative news for Gold and hence the gold will shine towards going above 2000 US$ per troy ounce.
Usually Gold buying opportunities will not lost beyond couple of days. Now this time, we are fortunate enough that we are getting cheap gold for couple of months. Buy gold so that will help to you shine well in your life.