The World Economy Changes with Prediction in this Ever Changing World Throughout mankind history, the world is changing in an amazing speed. However, no matter what changes take places, the world economy changes with its own established law and with such changes, it means it’s time for Wealth Redistribution !
Now, let us review the changes to the World Economy for the past 100 years. Bank of America Crisis in 1907 The Wall Street Crash in 1929 Oil Crisis in 1973 – 1974 Crash of Stock Market in 1987 Asia Economic Crisis in 1997 – 1998 Now, Economic Tsunami in 2008 Will there be a repeat of the tremendous effect caused by the Wall Street Crash in 1929?
There Are Many Happenings In 2008 Gold Price rises to the US$1,000 mark Nationalisation of AIG New York Stock market crashes and drops in 394 index points Morgan Stanley Closing Down
Merrill Lynch, 3 rd largest investment bank in United States with 94 years of history put up for sale Fannie Mac & Freddie declared bankrupt The United States introduced an Economy Stimulus Package of 700 Billion Dollars Iceland Bankrupt Lehman Brothers, an investment bank with 158 years of history declared bankrupt
The World Lost 6 Trillion Dollars on Week 41 in 2008. Do you know how much is 6 trillion dollars? If we are given 1000 dollars every second, it means that we will receive 10000 dollars ever 10 seconds, and 60000 dollars every minute. We will need 32 years to receive 1 trillion dollars. 192 years for 6 trillion dollars
In This Economic Crisis WalMart founder, Sam Waltons’s Family lost a total of 21.1 billion dollars with a 19% decrease in wealth World Wealthiest Man, Warren Buffett lost a total of 16.3 billion dollars with a 25% decrease in wealth Microsoft founder, Bill Gates lost a total of 12 billion dollars with a 40% decrease in wealth
Google founder, Sergey Brin & Larry Page lost a total of 12.1 billion dollars with a 56% decrease in wealth Casino Tycoon, Sheldon Adelson lost a total of 24.9 billion dollars with a 91% decrease in wealth Needless to say, Times Are Getting Real BAD When Times are BAD, choosing Gold is PROBABLY your BEST BET!
Gold has been desired throughout the history of our planet by almost every established culture as the ultimate symbol of power, wealth, beauty and accomplishment. Because gold is highly valued and in very limited supply, it has been used as money for more than 6000 years. It is the most ancient form of money still used today. No other rare metal holds a more visible and prominent place in our society. Gold’s luster and brilliance occupies a special place in the human mind. Empires may rise and fall. But gold will always have value.
More gold is used today than at any time in the history of mankind. Cultures worldwide revere gold’s exquisite beauty in the form of jewellery, medals and religious importance. OUR GOLDEN FUTURE The metal of the 21 st Century For Individuals to improve technology. Government store gold as an indestructible core asset representing the nation’s wealth. Investors are flocking to gold in both booming and uncertain times. In today’s world it is virtually important part in your world. Did you know that gold is used in almost every sophisticated electronic device? From calculators, PDA’s , GPS devices, home audios, TV’s , satellites, automobiles, to every computer on the planet. Even a mobile phone can contain about 50cents (USD) in gold. As the world becomes more technology driven, the demand for gold in technology is increasing rapidly. It is truly the amazing metal of the future.
Like all other products, the price of gold is set by the unbreakable law of supply and demand. When demand exceeds supply then prices must rise, In the case of gold, demand consistently outstrips supply every year. The weakening US dollar also raises the price of gold. New: On March 13 2003, gold reached USD1000 per ounce for the first time in history, In just the first 2.5 months of 2008, gold has appreciated by +23% During the same period, stock markets around the world have lost between -10%(USA) to -35%(india). It is normally expected that gold prices go up during tough times THE PRICE OF GOLD Driven by Supply and Demand
Fact: only 50-60 grams of gold is found in 1 tonne (1 million grams) of mined ore. Finding and mining gold is extremely difficult, complex and expensive. Fact: new mines often take 10 years and billions of dollars of infrastructure to begin contributing to supply. Miners cannot increase supply even when prices are high. THE PRICE OF GOLD Almost no growth in supply
Fact: Annual gold production has not increases over the last 10 years (averaging about 2,500 metric tons per year). In fact, it has actually gone down since 2003. New mines that are being developed will replace current production rather than expand gold supply. At current consumption rates, the supply of gold is believed to last as little as 27 years. Consumption will increase in a high tech world. Fact: supply is further constrained because some of the gold is simply discarded and not recycled. Billions of mobile phones, computers and electronic devices is used worldwide will become obsolete every few years. Each microchip contains a small amount of gold that is often not recovered because the cost of recycling is not worthwhile. The math : (3 billion mobile phones x USD 50 cents of gold per mobile = USD1.5 billion dollars more than 40,000 kilos in just mobile phones.) Fact: 20% of all mined gold is in the national reserve of the government around the world. It is generally not intended for sale to the open market. This gold is essentially removed from the open market supply. Summary: Gold supply is not going to increase enough to make a difference, the trend price of gold must rise.
Gold is still the only “REAL” money, all currencies are dependent upon the health of a government. Remember the collapse of the Japanese Yen and German Deutschmark after World War II or the Iraqi Dinar after the overthrow of Saddam Hussein. When government s collapse, their currencies become worthless. Government central banks create money out of nothing by simply printing more paper money. In the world financial crisis of 2008, major governments are injecting hundreds of billions of dollars into “The financial Economic Stimulus Package.” Where did this money come from? Nowhere. They just made more money and created inflation as side effect. When people fear money is made more worthless (inflation), It becomes a major reason why people run back to gold during uncertain times.
The value of the US dollar has dropped significantly in recent times. This has two big effects on the price of gold. First, most of the gold is mined outside the USA and the cost of mining is not in US dollars. So it costs more US dollars to mine the same amount of fold and the price of gold must rise, second, other main commodities (such as oil and food) are also from outside the USA and those prices will also go up. When oil and good prices go up, that causes inflation. In Summary, gold has risen during both good and troubled times. Gold also rises during inflationary times regardless of a good or bad economy.
IS GOLD ALREADY TOO EXPENSIVE? Still far below its historical peak of USD 2300
When looking at the price of gold, it is important to understand the inflation adjusted price which is the price of gold in the value of today’s dollars. One dollar 30 years ago was worth historically cheap even at USD1000 per ounce. The inflation adjusted peak price was USD2300 in 1980! Consider this: how were the economies of India and China in 1980 compared to today? How many mobile phones, computers and other technology devices did people use compared to today? Gold demand is only increasing as the world moves forward. Look at percentage increases. If gold can go from USD275 to USD1025 per ounce in 8 years (an increase of 270%) it is certainly possible to rise from USD1025 to its previous inflation adjusted peak of USD2300 (an increase of 124%) With global financial markets and economies in turmoil, inflation growing worldwide, the rise of India/China/Middle- East as future economic giants, and the increased usage of technology. The future of gold is shining brightly. Gold is right asset at the right time.
While 2008 and 2009 are expected to be volatile years in general, it does not need to be that way for you. Buying into gold right now is something you can count on. GIO is a registered corporation officially licensed by the government of Panama to deal in gold with long history of 10 years. GIO provides a simple and secure way to take advantage of the tremendous opportunity in gold and earn generous profit sharing rebates.
A positive price outlook, underpinned by expectations that the growth in demand for the previous metal will continue to outstrip that of supply. Provides a solid rationale for buying gold. If you have not thought of gold before. Now is the time to buy before the opportunity passes you by. If you have been contemplating gold for some time now but have not made your purchase, do not waste another day. With a good trading history of 10 years dealing in gold, GIO has also established good credit rating relationship with several major bank of the world. ALL GIO sales are made directly by the company and the option to take physical delivery of the gold is always given at the same time as payment is made.!
LET’S DECODE THE SECRET OF FINANCIAL WEALTH.!!!