precious metals

Financial News Network
March 14, 2012 AT 8:16 AM
Good Afternoon, You are watching the financial news network online, I am Ian Temple.Today and Precious MetalsWhat to Expect, and How To ProtectWith the Dow Jones getting bashful about the number thirteen-thousand while the fed pumps money like there's no tomorrow, it's only natural to wonder, 'what am I supposed to do?' It's times like this that test our Metal.But is it Gold, or Silver? Silver tends to fare better in the early stages of an inflationary boom because it trades as an industrial metal more than it does as a precious metal, and as such will be strongly in demand.However—it's a good deal more volatile, so take your Dramamine with your shares of SLV if you get motion sickness.Gold is a bit more stable—some folks even suggest that the price of Gold doesn't move at all—merely the price of everything else moves around it. That may be giving our little yellow friend a little too much credit, but Gold without a doubt fares better during periods of high inflation than your 2-percent government savings bonds ever will. And with a decreased industrial demand, Silver will take a hit.Now if things get bad—and I mean REAL bad-- Silver's gonna outperform Gold heavily. Why? Because the value of Gold is impractically high. You or I could never exchange an ounce of Gold for a bag of groceries. Not inless you're Jabba the Hutt, anyways… But with Silver which trades around thirty dollars an ounce, in today's dollars, you could. And with more and more middle class people looking to ride out the inflationary storm, Silver just may be the only game in town.You are watching the financial news network online. For more updates, stay tuned, I'm Ian Temple.