Why Buy Gold?
For anyone wondering why those tinfoil-hat nutty gold bugs would ever want to buy gold, lets take a look at how the price of gold has ended since the turn of the century/millennium.
Notice anything in particular?
How about the fact that for 12 straight years the price of gold has ended the year higher than it began, some years dramatically so?
Sure there have been gyrations along the path, but considering the dynamics – and manipulation – of the markets, a long term perspective makes it look pretty good.
Since it sometimes is hard to find the actual year end historical price of gold, I decided to post this info courtesy of a Richard Russell interview posted on King World News blog.
The Year End Price Of Gold Since Turn Of The Century
| Year | Price of Gold in US Dollars |
% Increase |
|---|---|---|
| 2000 | $273.60 | — |
| 2001 | $279.00 | 2% |
| 2002 | $348.20 | 24.8% |
| 2003 | $416.10 | 19.5% |
| 2004 | $438.40 | 5.4% |
| 2005 | $518.90 | 18.4% |
| 2006 | $638.00 | 23% |
| 2007 | $838.00 | 31.4% |
| 2008 | $889.00 | 6.1% |
| 2009 | $1096.50 | 23.3% |
| 2010 | $1421.40 | 29.6% |
| 2011 | $1531.00 | 7.7% |
| 2012 | $1675.00 | 9.4% |
| 2013 | $1206.00 | -28% |
| 2014 | $1182.90 | -1.9% |
Not to shabby for an antiquated relic, eh?
How many of your other investments have done this well, did you buy Apple (AAPL) at $8/share?
This is just for a reference…
and an answer to the question: Why Buy And Store Gold?
