Friday, December 11, 2009

Few People Invested in Gold

One of the major reasons cited by a number of experts as to why we're not in a gold bubble is the fact that very few in main street America have gravitated toward gold as a key part of their investment strategy.

When the time comes when people respond to gold increasing in price to the point it can't be ignored, a lot of the upward movement will already have happened, and the resultant surge in the price of gold at that time probably will be a bubble. But for now, it's not even close to that point, and little is changing in the printing of money by central banks around the world to change gold from being an important investment over the next decade.

Investors like Jim Rogers say they wouldn't think of selling gold any time soon, and once it drop in price some, are ready to buy up even more.

Even so, silver is probably the better way to invest in commodities and precious metals at this time, as it's still 70 percent off its highs, while gold continues to flirt with highs on a daily basis.

Other good commodity investment vehicles to participate in for most would be commodity indexes, according to Jim Rogers.

Rogers also believes investors should familiarize themselves with foreign currencies, as there will be a lot of opportunities in the years ahead to make money in that commodity sector as well.

Rogers has been buying the U.S. dollar, even though he knows its doomed over the long term. He believes there will be a nice upward movement based solely on how bearish most investors are in the greenback at this time. Over the long term, he still remains bearish on the U.S. currency.

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