Demand for Physical Gold Breaking Records
by Capital Gold Group
In a recent interview in his syndicated radio
talk show, The Gold Show, Jonathan Rose, the
President and CEO of Capital Gold Group, Inc.,
one of the country's premier providers of
physical gold assets, stated that the demand for
physical gold as a hedge against losses in paper
assets such as stocks and the US dollar is
CGG reports that total demand for all types of
gold - bullion, proof, and numismatic - have
doubled year over year and continues to escalate
as people realize the full impact of our
economic condition. Gold is being viewed as a
store of wealth, an essential part of every
investment portfolio, and vital for the
preservation and protection of one's assets in
very uncertain economic times.
"People are reporting huge losses in the market,
in their IRAs and 401ks, and are unhappy with
low-yielding bank accounts. They realize these
types of accounts will never reach their
intended goal," Mr. Rose stated.
"They are also learning that shares in gold
mining companies, gold ETFs, and shares of a
gold mutual fund don't provide the safety and
security of the tangible asset because they're
still investing in paper gold. They never
actually get to take physical possession of the
metal," Mr. Rose said. "The safety and security
of gold is in taking possession of it. You keep
it in your hands, you put it somewhere safe, and
you allow it protect the buying power of your
money for the long-term."
As for those concerned about whether it is too
late to enter the market, Mr. Rose was quoted as
saying, "A lot of people wait to buy gold.
Instead, people should buy gold and wait."
Considering gold's inverse relationship with the
dollar, a shrinking US dollar bodes well for
gold. The US Dollar Index has lost over 30%
since 2001, and continues to decline, while gold
has risen over 300%.
Mr. Rose believes that investors have a much
better chance of recovering losses in the market
by holding gold instead of stocks.
Mr. Rose quoted Louise Yamada, one of the top
technical analysts in the business, who stated
in a recent CNBC interview (March 2, 2009) that
the destruction of wealth relative to the crash
of 1929, when the market declined 49%, was
really in the 3-4 years following 1930, after a
secondary rally in the market, which she related
to the rally of 2007 within an ongoing bear
"In 1930, when the crash support level of 1929
gave way, that was the decline was wiped out the
wealth, and that's what we're worried about
today," she said.
Jonathan Rose, CEO of Capital Gold Group, is a
recognized commentator for worldwide gold
markets, including the United States, Europe,
China, India, Hong Kong, and Singapore. Capital
Gold Group, Inc. has main offices in Los