Gold continues to consolidate after its 3% rise last week. Given the scale of money creation and digital money printing taking place in the US and internationally, gold looks set to surge in the coming weeks as physical demand is unprecedented and supply remains lacklustre at best. While the gold price has not been as strong in terms of US dollars in recent weeks as some have expected, it is important to remember that the dollar has been the strongest currency in the world in recent weeks. As the financial contagion spreads internationally, other fiat currencies internationally fell against the US dollar which some had seen as oversold as the dollar had already fallen sharply in recent years. In recent days, gold has surged in price to new record highs in terms of UK pounds and euro as these currencies have weakened considerably against the dollar (thus nearly all of Gold and Silver Investments UK and Irish investors in gold are enjoying healthy profits despite the global financial and economic crisis). Gold's sharp rise in all major currencies is very bullish for gold. Gold is surging to record highs in nearly all major currencies as the credit and systemic crisis spreads internationally (see hyperlinked page below charts). With bullion shortages deepening and physical demand unprecedented while supply remains static at best, prices will continue to surge, especially as investors and institutions are now no longer looking for yield or to make returns, rather risk aversion and wealth preservation is rightly the name of the game. There is now the possibility of competitive currency devaluations and a global monetary crisis with severe inflation being experienced by economies internationally, but especially in the larger debtor nations. Talks of Zimbabwean style hyperinflation for major economies is likely over the top but severe inflation and stagflation looks increasingly likely and the present slight moderation in inflation rates is likely a temporary phenomenon. Financial Regulation: Gold & Silver Investments Limited trading as Gold Investments is regulated by the Financial Regulator as a multi-agency intermediary. Our Financial Regulator Reference Number is 39656. Gold Investments is registered in the Companies Registration Office under Company number 377252. Registered for VAT under number 6397252A. Codes of Conduct are imposed by the Financial Regulator and can be accessed at www.financialregulator.ie or from the Financial Regulator at PO Box 9138, College Green, Dublin 2, Ireland. Property, Commodities and Precious Metals are not regulated by the Financial Regulator Disclaimer: The information in this document has been obtained from sources, which we believe to be reliable. We cannot guarantee its accuracy or completeness. It does not constitute a solicitation for the purchase or sale of any investment. Any person acting on the information contained in this document does so at their own risk. Recommendations in this document may not be suitable for all investors. Individual circumstances should be considered before a decision to invest is taken. Investors should note the following: The value of investments may fall or rise against investors’ interests. Income levels from investments may fluctuate. Changes in exchange rates may have an adverse effect on the value of, or income from, investments denominated in foreign currencies. Past experience is not necessarily a guide to future performance. All the opinions expressed herein are solely those of Gold & Silver Investments Limited and not those of the Perth Mint. They do not reflect the views of the Perth Mint and the Perth Mint accepts no legal liability or responsibility for any claims made or opinions expressed herein. Fair Use Notice: This newsletter contains copyrighted material the use of which has not always been specifically authorized by the copyright owner. We are making such material available in our efforts to advance understanding of issues of financial and economic significance. At all times we credit and attribute the copywrite owner and publication.We believe this constitutes a 'fair use' of any such copyrighted material as provided for in Copyright Law. The material on this site is distributed without profit to those who have expressed a prior interest in receiving the included information for economic research purposes. If you wish to use copyrighted material from this site for purposes of your own that go beyond 'fair use', you must obtain permission from the copyright owner.

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