How To Invest In Gold Now – Buying And Selling Gold, Coins, Bars, Shares, Mining, ETFs

The market has started to look at gold as money again rather than just a commodity, writes Ed Bugos (Whiskey and Gunpowder) in an article on the Money Week website.

He forecasts “a $1,200-1,400 high for gold” in 2008, “that will break the bond market’s back, and make stocks cheap again”.

He says he is “also looking for an intermediate bottom of the dollar, big corrections in the energies and base metals, and a global recession”, continuing “It is still timely to buy the dips in gold prices and to accumulate sound mining assets – though good share values are becoming more difficult to find”.

Under a sub headline “Gold Is Sounder Money!” Bugos quotes an excerpt from an article “Gold Is the New Global Currency” in the Financial Times of January 8, 2008, which he uses to highlight the “increasingly frequent theme in the leading financial papers” that the market “has once again started looking at gold as money, rather than as a mere commodity”.

He also cites John Kaiser of the Kaiser Bottom-Fishing Report, who “believes the market is nearing a flashpoint where the sceptical public finally turn into believers and come rushing in”. Kaiser “reasons forecasts for gold [of] $2,000 are more plausible now that it is but ‘a mere double’”.

If gold is being considered as “money”, gold coins are probably as good a way as any to acquire it little by little, e.g. when there is a dip in the price, and gradually build up a stock over time as prices rise.

Incidentally, spot gold this morning was $900.40, up from $884.70 in New York last night.