Is it time to panic over the ongoing gold prices and yen rise? Let’s take a look at why this is happening, how gold and the price of gold play a role in deciding how our future unfolds and what we can do to keep ourselves safe.
We are just now hearing about the latest news regarding the Japanese (and now the U.S.) trading ban on U.S. dollar trading, this may seem very simple but it has a major impact on the foreign exchange markets.
In the past, the European countries were not worried about these problems but with the increasing inflation in Greece and the worse economic news coming out of the U.S., all of Europe, with the exception of Germany and the Netherlands decided to restrict the flow of currency into the U.S. This was causing a domino effect that would only end in the European countries losing their currency. The United States decided to begin importing more gold to back up their currency.
Now, with a possible outbreak of a plague or terrorist attack on the United States, you can see why many people feel that the currency exchange rate and the prices of gold will change. I am not an expert on either situation but as we see the changing political climate in the United States there is the potential for currency to get affected.
Many of us have been doing nothing about our financial problems and don’t look at gold prices. After the currency exchange rates get affected they will crash, so, they say, but gold will be where they all go.
Yes, mutual funds are still held by individual investors. However, when you look at the gold and the price of gold this will cause another domino effect that will cause mutual funds to sell as well as stocks.
It is not only mutual funds that will have a domino effect. Just remember that in the past, there was no stigma attached to gold, we looked at gold prices, nothing more.
The gold prices and the yen rise on coronavirus fears Iraq attack will change the global community. The leaders of all nations may not be able to do anything about the problems, but they should realize the risks that are coming to our shores and stop allowing them to affect us.
If they do not act now, we will soon have new problems on our hands. This could be as easy as our credit being effected by the currency exchange and we could end up with another crisis that could take years to resolve.
Remember, if we continue to allow our governments to let our mutual funds invest in things that are directly related to our future, we will get ourselves into trouble. What happens if we allow the world’s leaders to go on vacation or treat themselves to a few drinks before a meeting?
Don’t panic. Learn how we got here, keep investing in gold and our mutual funds and we can get our family’s future on track.