Effects Osama bin Laden’s Death on gold and silver Prices

Effects Osama bin Laden’s Death on gold and silver Prices : Osama bin Laden’s death, carried out in Pakistan by the United States Navy and the CIA, has had undeniable implications on the world economy, namely on the prices of gold and silver. Initially, gold prices declined drastically, while silver prices suffered the greatest loss in a single day since early 2008 once the news of the Al Qaeda leader’s death had spread. Osama bin Laden’s death came at a critical time since investors hurried to trade their dollars for the assumed safety of precious metals, like gold and silver. In turn, bin Laden’s demise has led to significant effects on the ForEx market, revamping interest in USD as the global image of the United States enjoys a boost.

Although gold prices decreased by over five dollars per ounce once the news of Osama bin Laden’s death hit, the trading community anticipates that the bull trend will ultimately be relatively unharmed due to the current global political and economical state. In fact, gold demand is still quite high, especially in Asia, India, and China, with numbers for these areas nearly the highest since the beginning of 2011. Furthermore, silver is among the first-ranking commodities in 2011, with silver prices rising by nearly forty-five percent this year.

Regarding gold and silver investments in light of Osama bin Laden’s death, the dip in gold prices and silver prices could be viewed as an interesting opening point into the precious metal market. Historically, the wise choice has been to move against the current instead of choosing to go in chase of the hottest commodity. While panic sets in, as in the case of Osama bin Laden’s death, it is the perfect opportunity to invest in precious metals like gold and silver. Particularly those who opt to buy gold by the bullion via cash are relatively unaffected by such shifts in gold prices, as their investments are most often long term.

Ultimately, it appears that Osama bin Laden’s death will have a limited impact on gold prices and silver prices. Professional investors and experts in the field of economics believe that international inflation and the instability of the global geopolitical situation, particularly in Pakistan and the Middle East, are bound to ensure the resilience of gold prices and silver prices. Hence, as long as terrorism continues to threaten the Western world, gold and silver will continue to be comparatively safe investment options. (source diamondpriceguide.com ) For the latest updates PRESS CTR + D or visit Stock Market news Today

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