A dip on a dollar in turn pushes the cost of gold as one saw in year 2008; its price reached approximately $ 1000 an ounce and doubled between the years 2008 – 2012 respectively.
Historically though, miner equity has outperformed the gains from the physical gold in almost every past rally and considering that the long term Gold upside is still intact owing to the decreasing mining output, selective investments in Pure Gold Miner funds and stocks may repeat the performance in all likelihood.
Further gold is an admirable hedge against price rises and increased living costs. Its prices tend to rise greatly during a period of inflation. Also in times of global crisis or political instability the above metal provides a safety cushion to its loyalists.
According, to an estimate by BullionVault.com the global mining output dropped from about 2580 metric tons in year 2000 to around 2440 metric tons of the yellow metal in year 2007 and in 2011 the production touched close to 2700…