Give us a shot at suprising you with your gold and silver. Call us at 801.889.7200 or online at valleygoldminesaltlake.com
Thursday, August 16, 2012
Recently purchase gold in Utah. How much did we pay?
Here is a picture of some gold we recently purchased. Think what your honest guess would be on how much we paid. The answer is $5,000.
Give us a shot at suprising you with your gold and silver. Call us at 801.889.7200 or online at valleygoldminesaltlake.com
Give us a shot at suprising you with your gold and silver. Call us at 801.889.7200 or online at valleygoldminesaltlake.com
Thursday, August 9, 2012
Want to Sell your Gold in Utah? Try a Gold Party
A great way to have fun and get rid of your gold is through a gold party with Valley Goldmine Salt Lake. We will work with you to set up your party on a date that works best. We will provide the marketing materials and items needed to set up the party. We will also pay you 10% of whatever we buy at the party. Here are three actual examples of parties we have had.
Party # 1 - This host had 6 people come and we paid out $1500 in total. Host left with $150 plus what she sold at the party.
Party #2 - This host had only 4 people come out and we paid $3500. They were paid $350 plus what they sold at the party.
Party #3 - This host was very hesitant at first to do a party. she had 8 people come and one guest had alot of gold. We ended up paying out nearly $14,000 in total. The host was so excited, she called more people to come to her home the next day. She ended up getting and extra $1500 along with what she sold us.
These are a few examples of what can happen with a party. If you have any questions or concerns, please reach out to us. We would love to help you plan a party today.
801.889.7200 or online at valleygoldminesaltlake.com
Party # 1 - This host had 6 people come and we paid out $1500 in total. Host left with $150 plus what she sold at the party.
Party #2 - This host had only 4 people come out and we paid $3500. They were paid $350 plus what they sold at the party.
Party #3 - This host was very hesitant at first to do a party. she had 8 people come and one guest had alot of gold. We ended up paying out nearly $14,000 in total. The host was so excited, she called more people to come to her home the next day. She ended up getting and extra $1500 along with what she sold us.
These are a few examples of what can happen with a party. If you have any questions or concerns, please reach out to us. We would love to help you plan a party today.
801.889.7200 or online at valleygoldminesaltlake.com
Monday, July 30, 2012
Are the Olympic Medals real Gold?
The last Olympic gold medal that was actually made from gold was awarded in 1912. So, if Olympic gold medals aren't gold, then what are they? The specific composition and design of Olympic medals is determined by the host city's organizing committee. However, certain standards must be maintained:
Although the Olympic gold medal is more silver than gold, there are gold medals that are really gold, such as the Congressional Gold Medal and Nobel Prize Medal. Before 1980 the Nobel Prize Medal was made from 23 carat gold. Newer Nobel Prize medals are 18 carat green gold plated with 24 carat gold.
Enjoy the Olympics and let us help you with all of your precious metals needs. 801.889.7200 or online at valleygoldminesaltlake.com
- Gold and silver medals are 92.5% silver.
- Gold medals must be plated with at least 6 grams of gold.
- All Olympic medals must be at least 3 mm thick and at least 60 mm in diameter.
Although the Olympic gold medal is more silver than gold, there are gold medals that are really gold, such as the Congressional Gold Medal and Nobel Prize Medal. Before 1980 the Nobel Prize Medal was made from 23 carat gold. Newer Nobel Prize medals are 18 carat green gold plated with 24 carat gold.
Enjoy the Olympics and let us help you with all of your precious metals needs. 801.889.7200 or online at valleygoldminesaltlake.com
Monday, July 16, 2012
Has Gold Peaked? An expert opinion
Is the gold price too high? Has gold peaked?
"I have been interested in gold, but the price is too high. What if it has reached the peak?" The gold price may actually be low compared to where it's going to be in 2012, 2015 or 2020 and beyond. There are several reasons why the gold price was undervalued in the past decades: debt was under control, so there was no need to print money (unlike today, when governments need to produce fresh money to pay back what they had borrowed). While money printing and borrowing were happening in a controlled manner, the inflation was contained. The financial markets were fairly stable and funds yielded attractive profits. Thus, safe heaven investments, such as gold, were unsought.In addition, the Western central banks were selling large portions of their gold reserves in the expectation of a long-lasting economic boom. These sell-offs lead by the Bank of England, the International Monetary Fund and the European central banks peaked around 2000 and caused a further depression of the gold price.
But apart from the comparison to the prosperous 1990s, there is little evidence that the current gold price is too high. The purchasing power of one ounce of gold in terms of food, housing or other commodities is in line with historical records from decades and centuries ago. It suggests that gold is not expensive from the long-term perspective. Rather, the gold price is likely to keep rising due to the expected problems of the next 10 to 20 years: inflation from excessive money printing, turbulent markets caused by unstable (inflating) prices, new oil price shocks and government budgets affected by retiring Baby Boomers, and so on.
Friday, July 6, 2012
$10,000 an ounce for Gold.....
BELIEVE IT OR NOT, there is a plausible path to a $10,000 an ounce Gold Price And it doesn't require a breakdown in civil society.
Speculators see central bankers as modern-day superheroes, able to push markets around with a single phrase. In the minds of most investors, Ben Bernanke, Mario Draghi and Masaaki Shirakawa might as well be wearing tights, masks and capes. These superhero central bankers continuously swoop down into the financial markets to defend them from downticks...and to insure that they always deliver capital gains.
The reality, of course, is that these superheroes are frauds. They have no superpowers...other than the power of mass delusion. The powers of Mario Draghi and the other central bankers in Europe are waning. Excess debt is like kryptonite: Each new wave of printing has less impact on markets. As the popular phrase goes: "This is a solvency problem, not a liquidity problem."
In other words, new money supply cannot restore health to sick loans and government bonds. The only way to restore solvency to the system is to deflate the economy or slash the amount of debt in the system through mass bankruptcy.
Or is there another way? Is there a "reset button" that central bankers can push (with the approval of political leaders) that would restore balance to the system?
We know central bankers would never want to deflate the economy or crash the value of debt, which would destroy the banking system. So how about inflating the money supply to dilute the value of debt? All in one fell swoop?
Right now, central bankers are diluting the value of debt very slowly by pushing interest rates below the rate of inflation. Some call this "financial repression." It's an unspoken policy that has many negative consequences. What is an alternative, since all attempts to "fix" the current system with more borrowing and printing are failing?
How about the classical gold standard, which stands out as the least flawed of all the systems we've tried. Each nation could choose to peg its local currency to gold at a price that allows for enough growth in bank reserves to greatly reduce the burden of public- and private-sector debts.
Re-pegging a currency like the US Dollar to gold at the current price (about $1,550) has its pitfalls. Most notably, it would not deleverage an overleveraged banking system. But re-pegging the Dollar to something like $10,000 an ounce might do the trick.
Hedge fund managers Lee Quaintance and Paul Brodsky from QB Asset Management wrote a fascinating outline on the potential reintroduction of gold into the monetary system, while simultaneously implementing what one might consider a debt jubilee. QB explains the mechanics of how it could work in the US:
Using the US as an example, the Fed would purchase Treasury's gold at a large and specified premium to its current spot valuation. The higher the price, the more base money would be created and the more public debt would be extinguished. An eight-to-10-fold increase in the Gold Price via this mechanism would fully reserve all existing US Dollar-denominated bank deposits (a full deleveraging of the banking system)."
Below is what the remonetization of gold would look like in chart form. The yellow line would rapidly approach the blue line. And the blue line will keep rising as we see further growth in the money supply. QB's "Shadow Gold Price" divides the US monetary base by official US gold holdings. Policymakers, who always feel the need to manage something, would appreciate that this is the same formula used during the Bretton Woods regime to peg the Dollar at $35 per ounce. In other words, the Shadow Gold Price is the theoretical price of gold after the Fed inflated the supply of Dollars to a level that would cover systemic bank liabilities and then re-pegged the Dollar to gold. Behold the path to $10,000 gold:
This path would weaken the economy-sapping effects of debt created since President Nixon closed the gold window. It would transform a debt-based currency into an asset-backed currency. No longer would one ask the unpleasant question "What backs the Dollar?" and come away with even more questions (and a headache). Right now, the Dollar is backed by Treasuries held on the Fed's balance sheet, which are in turn backed by Dollars, which are in turn backed by faith in fiat money — i.e., nothing!
QB's monetization scenario would impose losses on certain parties as the reset button is hit, but unlike most of the policy prescriptions we've seen lately, it seems to solve more problems than it creates. Most notably, politicians could argue that this reset would involve "migration of value, in real terms, from leveraged assets to unleveraged goods, services and assets." Wage earners would be winners relative to asset owners, because "stable to higher nominal asset prices would require even higher nominal wage and consumable pricing looking forward."
This scenario argues for holding some shares in producers of physical commodities (especially gold miners), even if it feels like we're in a deflationary environment. A gold standard, after a one-time debt monetization, would make for a more-balanced, efficient global economy less prone to violent booms and busts.
As an added bonus: Central bankers would no longer be viewed as superheroes! Just meager servants, pegging the money supply to gold and letting the free market determine the price of money. After all, when in history has central planning worked better over time than the free market?
We can hope the central bankers of the world stumble their way to a solution like that proposed by QB Asset Management before they inflict even more damage to the foundation of the global economy. Unfortunately, conditions may have to get much worse in financial markets, banking systems and economies before such "outside the box" ideas are considered. A defensive portfolio with exposure to gold and other real assets seems like the right mix in today's environment.
Give us a call for all of your precious metals needs at 801.889.7200 or online at valleygoldminesaltlake.com
Speculators see central bankers as modern-day superheroes, able to push markets around with a single phrase. In the minds of most investors, Ben Bernanke, Mario Draghi and Masaaki Shirakawa might as well be wearing tights, masks and capes. These superhero central bankers continuously swoop down into the financial markets to defend them from downticks...and to insure that they always deliver capital gains.
The reality, of course, is that these superheroes are frauds. They have no superpowers...other than the power of mass delusion. The powers of Mario Draghi and the other central bankers in Europe are waning. Excess debt is like kryptonite: Each new wave of printing has less impact on markets. As the popular phrase goes: "This is a solvency problem, not a liquidity problem."
In other words, new money supply cannot restore health to sick loans and government bonds. The only way to restore solvency to the system is to deflate the economy or slash the amount of debt in the system through mass bankruptcy.
Or is there another way? Is there a "reset button" that central bankers can push (with the approval of political leaders) that would restore balance to the system?
We know central bankers would never want to deflate the economy or crash the value of debt, which would destroy the banking system. So how about inflating the money supply to dilute the value of debt? All in one fell swoop?
Right now, central bankers are diluting the value of debt very slowly by pushing interest rates below the rate of inflation. Some call this "financial repression." It's an unspoken policy that has many negative consequences. What is an alternative, since all attempts to "fix" the current system with more borrowing and printing are failing?
How about the classical gold standard, which stands out as the least flawed of all the systems we've tried. Each nation could choose to peg its local currency to gold at a price that allows for enough growth in bank reserves to greatly reduce the burden of public- and private-sector debts.
Re-pegging a currency like the US Dollar to gold at the current price (about $1,550) has its pitfalls. Most notably, it would not deleverage an overleveraged banking system. But re-pegging the Dollar to something like $10,000 an ounce might do the trick.
Hedge fund managers Lee Quaintance and Paul Brodsky from QB Asset Management wrote a fascinating outline on the potential reintroduction of gold into the monetary system, while simultaneously implementing what one might consider a debt jubilee. QB explains the mechanics of how it could work in the US:
Using the US as an example, the Fed would purchase Treasury's gold at a large and specified premium to its current spot valuation. The higher the price, the more base money would be created and the more public debt would be extinguished. An eight-to-10-fold increase in the Gold Price via this mechanism would fully reserve all existing US Dollar-denominated bank deposits (a full deleveraging of the banking system)."
Below is what the remonetization of gold would look like in chart form. The yellow line would rapidly approach the blue line. And the blue line will keep rising as we see further growth in the money supply. QB's "Shadow Gold Price" divides the US monetary base by official US gold holdings. Policymakers, who always feel the need to manage something, would appreciate that this is the same formula used during the Bretton Woods regime to peg the Dollar at $35 per ounce. In other words, the Shadow Gold Price is the theoretical price of gold after the Fed inflated the supply of Dollars to a level that would cover systemic bank liabilities and then re-pegged the Dollar to gold. Behold the path to $10,000 gold:
This path would weaken the economy-sapping effects of debt created since President Nixon closed the gold window. It would transform a debt-based currency into an asset-backed currency. No longer would one ask the unpleasant question "What backs the Dollar?" and come away with even more questions (and a headache). Right now, the Dollar is backed by Treasuries held on the Fed's balance sheet, which are in turn backed by Dollars, which are in turn backed by faith in fiat money — i.e., nothing!
QB's monetization scenario would impose losses on certain parties as the reset button is hit, but unlike most of the policy prescriptions we've seen lately, it seems to solve more problems than it creates. Most notably, politicians could argue that this reset would involve "migration of value, in real terms, from leveraged assets to unleveraged goods, services and assets." Wage earners would be winners relative to asset owners, because "stable to higher nominal asset prices would require even higher nominal wage and consumable pricing looking forward."
This scenario argues for holding some shares in producers of physical commodities (especially gold miners), even if it feels like we're in a deflationary environment. A gold standard, after a one-time debt monetization, would make for a more-balanced, efficient global economy less prone to violent booms and busts.
As an added bonus: Central bankers would no longer be viewed as superheroes! Just meager servants, pegging the money supply to gold and letting the free market determine the price of money. After all, when in history has central planning worked better over time than the free market?
We can hope the central bankers of the world stumble their way to a solution like that proposed by QB Asset Management before they inflict even more damage to the foundation of the global economy. Unfortunately, conditions may have to get much worse in financial markets, banking systems and economies before such "outside the box" ideas are considered. A defensive portfolio with exposure to gold and other real assets seems like the right mix in today's environment.
Give us a call for all of your precious metals needs at 801.889.7200 or online at valleygoldminesaltlake.com
Thursday, June 28, 2012
China is buying up more Gold..
Gold-investment demand in China may gain more than 10
percent this year as buyers seek a haven from Europe’s debt crisis and the
prospect of weakening currencies, according to the country’s largest bullion
bank.
“Investors here want to hold part of their assets in gold to
hedge for the risks, especially now that the financial crisis has evolved into
a sovereign crisis,” Zheng Zhiguang, general manager of the precious-metals
department at Industrial and Commercial Bank of China Ltd., said in an interview in Shanghai.
China will topple India this year as the largest bullion
market as rising incomes bolster demand, the World Gold Council forecasts.
Photographer: Jerome Favre/Bloomberg
June 4 (Bloomberg) -- Juerg Kiener, chief investment officer
at Swiss Asia Capital Ltd. in Singapore, talks about the outlook for commodity
markets. Gold declined after rising the most in more than three years as some
investors sold the metal to raise cash following losses in equities and other
commodities. Kiener speaks with Rishaad Salamat on Bloomberg Television's
"On the Move Asia." (Source: Bloomberg)
May 31 (Bloomberg) -- Dominic Schnider, Singapore-based
global head of commodity research at UBS AG's wealth
management unit, talks about the outlook for gold prices and demand. Schnider
speaks with Zeb Eckert on Bloomberg Television's "On the Move Asia."
(Source: Bloomberg)
May 28 (Bloomberg) -- Norman Chan, head of investment at
Calibre Asset Management Ltd. in Hong Kong, talks about global financial
markets and his investment strategy. He also discusses
Europe's sovereign debt crisis and China's economy. He speaks with John Dawson
on Bloomberg Television's "On the Move Asia." (Source: Bloomberg)
China will topple India this year as the
largest bullion market as rising incomes bolster demand, the World Gold Council
forecasts. Gold may gain for a 12th year in 2012 as European policy makers
strive to avoid a breakup of the euro zone and the U.S.
Federal Reserve weighs more stimulus to aid the recovery. Investors in China,
facing lackluster equity markets and property curbs, are looking more to the
metal, Zheng said June 6.
“It’s necessary for individual, institutional or even
government investors to hold gold when the value of money is decreasing at a
time of possible quantitative easing or excessive money-printing practices,”
said Zheng.
Investment demand in China was a record 98.6 metric tons in
the first quarter, 13 percent higher the same period in 2011, according to
figures from the producer-funded council. Last year, it climbed 38 percent to
258.9 tons compared with 2010, as overall demand gained 20 percent to 769.8
tons. China’s total gold demand may reach 1,000 tons this year, the WGC has
said.
Debt Crisis
Gold for immediate delivery traded at $1,598.02 an ounce at
4:03 p.m. in Shanghai,
2.2 percent higher this year. The price touched $1,526.97 on May 16, the lowest
level since December, as Europe’s debt crisis weakened the euro and investors
favored increased dollar holdings.
While a stronger dollar may pressure bullion, “I’m
optimistic on the gold prices
in the long term because of the China demand,” said Zheng. “There are too many
uncertainties now in the global economy, politics and the financial sector.”
ICBC represents more than 20 percent of the turnover on the
Shanghai Gold Exchange, China’s largest spot market for precious metals, and
more than 30 percent of the gold-leasing business in China, according to Zheng.
The lender accounted for about 16 percent of nationwide bullion sales last
year.
Gold imports by mainland China from Hong Kong climbed 65 percent
to a record 103.6 tons in April, according to data from the Census and
Statistics Department of the Hong Kong government released on June 5. The
increase came even as Lao Feng Xiang Co. (900905), the mainland’s
biggest gold-jewelry maker, said in May that gold-demand growth in China may
stagnate this year as falling prices put off investors and an economic slowdown
crimps sales.
Hurt Exports
The second-largest economy expanded 8.1 percent in the first
quarter, the slowest pace in almost three years as Europe’s crisis hurt
exports. Should Greece
exit the euro, the expansion may slow to 6.4 percent in 2012 without stimulus,
China International Capital Corp. said on May 23.
China, which on June 7 announced the first cut in borrowing
costs since 2008, has curbed property investments to avoid a bubble. The Shanghai
Composite Index (SHCOMP) declined 15 percent in the past year, while
spot bullion gained 5.4 percent.
On a three-month basis, gold demand in China eclipsed
India’s over the past two quarters, according to the World Gold Council. The
increased wealth of China’s middle class is helping to drive consumption, Albert Cheng, the
council’s Far East
managing director, said in an interview in May.
Last Resort
Greek voters are set to go the polls for the second time in
two months on June 17 in a vote that may determine whether the country stays in
the 17-nation euro. Goldman Sachs Group Inc. (GS) said gold remains
the so-called currency of last resort, forecasting a rally by year-end,
according to a May 9 report.
Spanish Economy Minister Luis de Guindos said on June 9 that
he would request as much as 100 billion euros ($126 billion) in emergency loans
from the euro area to shore up the country’s banking system. That, coupled with
weekend trade data from China, helped to boost stocks and commodities today.
As China allowed investors to buy and hold gold only in
recent years, “there’s explosive, pent-up demand because the Chinese have an
attachment to gold,” said Zheng, predicting that growth in investment demand
will beat the expansion in jewelry sales. “There’s great potential for
expanding China’s physical-gold investment market.”
Call us for all of your precious metals needs at 801.889.7200 or online at valleygoldminesaltlake.com
Tuesday, June 26, 2012
Gold Party Specail in Utah
For those considering doing a gold party here in Utah, give us a call so we can go over how fun it can be. Until August 1st, we will be paying an additional 5% to anyone who hosts a gold party with us. That means the host will get 15% of all of the gold we purchase. Contact us at 801.889.7200 or visit us online at valleygoldminesaltlake.com
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