Keeping savings in a foreign currency is not sensible
Many people believe that the best investment is currency, but any currency partially loses its value over time.
The unfavorable economic situation in many countries of the world often leads to hyperinflation and the complete depreciation of money. A person risks losing savings.
In addition, the price level is growing every year, which significantly reduces the purchasing power. When purchasing goods to satisfy daily needs, a person now spends more money, but buys less for the same amount.
Currencies are volatile and subject to numerous risks.
The dollar is losing its former power
The current recession of the US economy, an increase in the US public debt, a slowdown in the interest rates of the Federal Reserve System, all of it has a negative impact on the national currency rate.
The recent decision of the Fed to leave the interest rate unchanged is a good sign for gold. The yellow metal is becoming more expensive, meanwhile the US currency is losing its positions as well as the investor’s trust.
People are looking for a safer asset to minimize risks and make a profit.
The purchasing power of the euro decreases
The euro currency was introduced twenty years ago. For the European central banks, the emergence of a single currency was an important achievement, yet over time, the euro has noticeably lost ground.
At the time of the emergence of new money, the price of an ounce of gold was €288, and now, after two decades, an ounce of gold is worth €1,150, meaning that over the years of its circulation the euro currency has gradually lost nearly 75% of its purchasing power.
Gold is invincible
The yellow metal occupies a stable position in the global economy, gaining momentum year after year. The interest in gold as the most stable international currency is growing every day.
Both experienced investors and ordinary people buy gold. The eternal metal is immune to financial turmoil and political upheaval. The leading world powers increase their gold reserves annually, stabilizing the exchange rate of the national currency and providing a “lifeline” in times of a crisis.
Commodity market specialists are confident that the positive trend in gold prices will continue.
Since early May, the price of an ounce of gold increased by $50 — from $1,276 to $1,326.
Invest capital wisely
Financial experts and analysts advise: if you want to preserve and accumulate your earnings, buy gold!
By purchasing gold, you protect your cash from rising inflation and other economic risks, as well as increase your own savings. You will gain confidence in your future, mainly because gold never depreciates.