(1888PressRelease) July 26, 2011 - MIAMI, FL - News from Washington suggests little hope of an early agreement on the US debt ceiling crisis. We were told that an agreement would have to be reached by July 22 if it were to be processed in time for the August 2 deadline yet, despite frantic weekend meetings, little progress seems to have been made, with Republicans and Democrats working separately instead of together. This makes the possibility of default and a downgrading of credit seem all too real. While it still seems unlikely that politicians would allow this to happen, the fact that they are seemingly prepared to let it go down to the wire in this way, is enough to cause nervousness among investors and to result in a rush toward gold bullion as a safe haven buy.
Market analysts are predicting that gold may reach, and break through, further highs in the next two weeks or so, possibly reaching $1650 or even higher. Even if, or when, agreement is reached in Washington, the EU debt crisis continues to simmer, despite recent news. Greece's credit rating has been downgraded even further and there are widespread fears that the debt contagion could spread throughout Europe. All these factors offer strong support for a continued bull market in gold.
"Gold has enjoyed a bull market for years now and there are no indicators that this will change any time soon," says Bill Hionas of Pan American Metals of Miami. "Investors are rushing to buy gold as insurance against the international economic crises."
Pan American Metals of Miami was showing gold at $1612 an ounce, Monday, July 25.
Pan American Metals of Miami, LLC is a group of traders, investors and brokers who combine 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.