Remember that huge gold crash from a few days ago? According to global news networks, it appears that the broad sell-off in paper-denominated gold has resulted in worldwide search for physical bars and nuggets. From institutional investment firms in China to local markets in India, people are reportedly clamoring for the hard asset in an attempt to more effectively hedge against weaker currencies and slowing economic growth.
Even as far away as Australia, individuals are swarming firms that deal with the purchase and sale of physical gold. One official from the Perth Mint, which acts as the nation's refiner of gold bullion, told regional news source The Age that the level of business in the past few days in unprecedented.
"The volume of business that we're putting through is way in excess of double what we did last week," Nigel Moffatt, the Mint's treasurer, said in an interview. "There's been people running through the gate. There's been significant sales made as people see this as great value. Gold owners are very reactive to significant market movements."
Japan is experiencing a surge in physical gold demand, as well, following an announcement earlier this month by the nation's central bank that it would effectively double the market supply of yen in order to stave off currency deflation. Some experts point to record-low interest rates worldwide on savings accounts as one potential reason for people seeking out the precious metal as a secondary way of generating personal wealth growth.
These movements may not be over, as market anxieties among investors remain high regarding global fiscal tightening and slowing economic progress. Those hoping to hedge against these risks may want to consider alternative forms of investment, including cash flow real estate, to generate new forms of income. To learn more, download a "Free Game Plan Report" today.