Gold News

Gold Price 2009

The only certainty for the Price of Gold in 2009...? Volatility

WHAT WILL 2009 BRING for the Gold Price? The only dead-cert, as in 2008, will be volatility – the kind of gut-wrenching volatility that keeps you awake at night, fretting about this week's 5% loss...longing for next week's 5% gain.

The financial crisis starting in summer '07 has now seen daily swings in Gold Prices widen five times over for US-Dollar investors. The breadth of gold's daily swings has gaped wider for all other investors, as well.

But amid these sharp fluctuations, the underlying trend – looking at Gold's Outlook in 2009 at least, if not beyond the New Year – has remained higher, as new data from the analysts at Virtual Metals in London show...

What's more, the volatility in Spot Gold prices doesn't mean that owning the metal will cause any more sleepless nights than holding equities, debt or currency investments.

During 2008, price volatility in the S&P 500 index leapt almost 8 times over. As 2009 draws nigh, the Euro – when valued in the US greenback – has become more than four times as volatile as it was when the financial crisis broke in Aug. '07.

Even Treasury bonds have gone wild, with the volatility in US yields becoming more vicious than even Gold Bullion or currency moves.

What factors will impact the Gold Markets in 2009...? Start reading here.

Adrian Ash is director of research at BullionVault, the physical gold and silver market for private investors online. Formerly head of editorial at London's top publisher of private-investment advice, he was City correspondent for The Daily Reckoning from 2003 to 2008, and is now a regular contributor to many leading analysis sites including Forbes and a regular guest on BBC national and international radio and television news. Adrian's views on the gold market have been sought by the Financial Times and Economist magazine in London; CNBC, Bloomberg and TheStreet.com in New York; Germany's Der Stern; Italy's Il Sole 24 Ore, and many other respected finance publications.

See the full archive of Adrian Ash articles on GoldNews.

Please Note: All articles published here are to inform your thinking, not lead it. Only you can decide the best place for your money, and any decision you make will put your money at risk. Information or data included here may have already been overtaken by events – and must be verified elsewhere – should you choose to act on it. Please review our Terms & Conditions for accessing Gold News.

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