Central Banks Crank Up the Printing Press

If you follow this blog, and you should follow us, this story will be no surprise. As we blogged in September the major central banks (European Central Bank, Federal Reserve, the Bank of England, the Bank of Japan & Swiss National Bank) are making available currency at a greatly reduced rate. This policy will take effect on December 5th and is driving Gold prices back towards the $1,800 mark.

We don’t often talk about the futures prices on Gold but in this case it is warranted. The futures options on Gold heading into 2012 is settling into the $2,000 mark. This is a little later than we anticipated but according to Jim Rogers on CNBC, If you adjust for inflation Gold should be at the $2,400 but I expect it to go much much higher. He also related that he is holding onto his gold and looking to buy on the retractions.

For the rare coin buyer there are a few things on the horizon that will impact this market. We anticipate this will cause upward pressures on prices & supply of rare coins. Now is the time to check your Tangible Asset Portfolio and see what you need to do to strengthen your position from a conservative 10% to aggressive 20% of total net worth.

 

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