Indonesia Authorized Money Changer

Shiny Gold When The Dollar Weakens

April 15th, 2011 - Tags: , , , , , , , , , , , , , , , , , ,
Posted in Umum

RMC -The issue of the European Central Bank will raise its benchmark interest rate to make the Euro more powerful even occupy the highest level in 15 months plus the improvement in the debt crisis in Europe including Portugal and Greece. On the contrary policy of the Federal Reserve to stay afloat not raise its benchmark interest rate makes the dollar worse off only added to the U.S. jobless claims increased.

The euro was at the level of U.S. $ 1.4488 from U.S. $ 1.4443 before that this is a direct result of short-term speculators who immediately let go of the dollar as concern the impact of bond market activity in Greece.

The weakened dollar is also directly make the price of gold shot up, on this day has reached its highest level in history that is 1478.32 U.S. dollars per troy ounce. The investors will not continue to save the dollar while the U.S. economy does not get better and The Federal Reserve continues to hold its benchmark interest rate, investors tend to switch to the most profitable investment and gold is the most preferred investment investors lately. Gold prices can only continue to rise and may be able to penetrate 1600 U.S. dollars per troy ounce this year if inflation remains high and the low global interest rates. (Winnie)