Friday, May 29, 2009

TIME TO BECOME ONE'S OWN CENTRAL BANK?

World famous investment advisor Marc Faber believes it is time for every prudent citizen to become one's own central bank by owning some gold. He believes that gold will be the safest and most valued asset class to hold in times to come. His rational for saying so are

1. With billions of dollars being printed world over by governments to pump into economy to stave off the depression, the risk of inflation in some time is real. The inflation in consumer prices will rise leading to increase in the value of gold .

2. The unprecedented printing of money will also lead to reduced purchasing power of paper currency in due coarse of time and as such gold will gain value in future.

3. Physical gold's supply is limited and with increased demand its price is bound to go up.

4. More and more central banks will look to buy and keep gold , thereby pushing the overall price of gold up.
Read more on this at
http://www.business.in.com/interview/close-range/is-a-gold-bubble-building-up/372/1.

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