Gold News: No Downpour on Gold Prices

Gold News

In the latest gold news: As of October 23, 2016 at 8:01AM EST, the price of gold was $1266.43, breaking the downward trend that we have seen in the last few weeks. At approximately this time last week, gold was selling for $1250.56 per ounce.

Gold News

It’s monsoon season in India which means great things for gold. A third of India’s gold consumption is from farmers who tend to buy a significant amount of jewelry during the heavy rains. Due to an especially heavy monsoon season, the fears of drought have been wiped away and farmers are spending money on jewelry. This coupled with the recent drop in the price of gold is why the India Bullion and Jewelers Association believes that gold jewelry sales will increase by up to 60% this year. Additionally, wedding season has hit India so there is yet another reason for Indians to be buying gold jewelry.

2 weeks, Goldman Sachs told investors that should the price of gold drop below $1250 an ounce to seize the opportunity and buy gold. Goldman viewed this as a “strategic buying opportunity.” It looks like Goldman was right, as gold is starting to make its way back up. However, gold managers are warning investors to be careful with gold because of the volatility this year. They warn that gold should be about 5% of a portfolio because otherwise “you lose the diversification benefit because the volatility swamps what the rest of your portfolio is doing,” says Dan Debow, a senior portfolio manager at USAA Precious Metals and  Minerals fund.

On October 4th, I Know First’s algorithm accurately predicted that gold and silver would show negative growth in the 7-day gold prediction as seen in “Gold Forecast Based on Self-Learning Algorithm: Almost 9% Return in 14 Days” I Know First’s average percent change came out to an impressive 4.82%.

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