Wednesday, February 29, 2012

Gold Prices Fall

The price of gold has fallen by 5%, to below $1690 an ounce. Those investing in gold will not like this news, but it could be an economic indicator that precedes a rebound in the overall economy. A fall is the gold price is desireable for those who invested in an exchange traded fund which invests in the inverse of the gold price (DZZ). That fund was up an impressive 11.83% earlier today. The daily volume for that investment was double its normal amount, with 3.2 million shares trading hands. I think that DZZ will be a good investment to track, as the Dow climbs, the price of gold will fall. Barron's magazine predicts that Dow 15,000 may not be that far away. But, of course there are always different opinions out there. One asset manager predicts that gold may top $6000 per ounce, more than triple what it is now. For that article, here is the link:

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