Gold prices pull back slightly due to a stronger dollar and some profit taking.
(1888PressRelease) January 25, 2012 - MIAMI, FL - A stronger dollar, following Greece's inability to reach agreement with its creditors, put a cap on gold's gains, Tuesday. Despite this, gold prices were holding firm just shy of $1670. The weaker euro, however, did drag prices down from Monday's highs as the markets reflected disappointment that the talks in Athens ended without achieving a resolution. There was also some profit taking, following Monday's six-week high.
Investors more interested in long-term returns should keep an eye on the upcoming Federal Open Market Committee meeting; if there is any suggestion of further quantitative easing, we can expect the price of gold to surge. More money in the system, coupled with lower interest rates would be very supportive of gold. Cash becomes less attractive when the 'real' interest rate is negative and gold bullion provides a proven hedge against inflation.
"The only thing that would seriously drive down the price of gold would be high interest rates," says Bill Hionas of Pan American Metals of Miami. "With the current low rates apparently likely to hold through 2013, cash investments have little or no value. Gold bullion is clearly investors' best option if they wish to avoid their wealth being gradually eroded."
Precious metals bullion is a unique financial instrument; it has an intrinsic value that cannot be debased in the same way as fiat currency. Pan American Metals of Miami deals in gold, silver, platinum and palladium bullion. Both fully funded and leveraged positions are available.
About us:
Pan American Metals of Miami, LLC is a group of traders, investors and account executives that combines many years of experience to help clients invest in bullion. PAMM provides an individual investment service and is based in Miami, Florida for convenient access to both North and South American investors.
Website: http://www.panamericanmetalsofmiami.com
Press Contact
Debbie Bailey
Executive Administrator
Pan American Metals of Miami, LLC
Email: dbailey ( @ ) investpanam dot com
Website: http://www.panamericanmetalsofmiami.com
Gold prices pull back slightly due to a stronger dollar and some profit taking. 
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