Gold remains above $1600 as bargain hunters rush in.
(1888PressRelease) January 04, 2012 - MIAMI, FL - Gold managed to sustain its New Year rally; gaining further, Wednesday, as some profit taking seems to have been countered by bargain buying. Skeptics who may have been worried that gold would not rebound in what has been a volatile market may now be in a rush to buy before prices rise any more. Opening the day around $1600, gold was asking $1613 at the time of writing with silver at $29.43.
The precious metals market is also being given a boost by rising oil prices; fears of military activity in the Persian Gulf have not abated and the effects of sanctions or attempts by Iran to close the Strait of Hormuz are very real. Gold will likely benefit from any escalation in this crisis, albeit this would be potentially devastating in terms of international relations.
"Gold is regaining its position as a safe haven in times of crisis," says Bill Hionas, CEO of Pan American Metals of Miami. "We are looking at the possibility of large increases in the price of both oil and precious metals."
Gold's rally has been the strongest for some weeks and, as it stays comfortably above $1600, the chances of it being sustained are high. Silver is also benefiting, heading back toward the $30 mark.
Investors interested in taking a position in gold or silver bullion should contact Pan American Metals of Miami for advice. PAMOM's team of seasoned investors and traders is always available to assist clients with their bullion purchases.
Pan American Metals of Miami, LLC is a group of traders, investors and account executives that combines many years of experience to help clients invest in bullion. PAMM provides an individual investment service and is based in Miami, Florida for convenient access to both North and South American investors.