The first few months of 2013 have been interesting as far as gold and silver prices are concerned. While both the gold and silver price have seen long term gains over the past several years, the prices for both precious metals have fallen in recent weeks, causing a variety of reactions from investors and financial experts. However, the price decline trend may be making its turn around.
Near the end of February, both gold and silver experienced price growths of around 1%. This small but significant increase has led some experts to believe that gold and silver are making their much anticipated turn around, the first step towards another price increase trend that may lead to record breaking highs later this year. Others believe that the small change in price is just a tiny blip on the radar screen, and that the talk of gold and silver prices heading into growth territory is premature.
The recent decline in price worried some investors, who sold off their shares or collections of gold and silver when the metal’s value started diminishing. Long term investors, on the other hand, understand that periods of decline will happen with almost every investment, and if you can be mentally strong enough to weather the storm, you will most likely come out on top in the long run.
Regardless, almost everyone in the financial world agrees that at some point, the prices for gold and silver will turn around, and surpass the records-setting levels we saw in 2011.
When will the prices stop falling, and start increasing consistently? No one can say for sure. But if the recent increase is an indication of a much larger increase headed our way in the coming weeks and months, then most investors would agree that the time to buy gold or silver is now. If, in fact, we are in the beginning stages of a period of price growth for gold and silver, then the longer you wait to invest, the more expensive your investment will be.
In other words, the recent decline in gold and silver prices has created a market in which the metals are essentially on sale, but like all good sales, there is an end date. The only question is, when does this sale end, and when will we have to pay full price again, or even more?Google+