Investors are protected by gold

Today, gold prices are rising. The August futures contract (a contract) of gold during trading in New York Comex Exchange rose to 1,213.9 dollars per troy ounce. Since the beginning of this year, the yellow metal has risen in price by 10%. And, the price of gold has been growing for ten consecutive years. The main reason, of course, the crisis. Since gold - a protective asset. When the situation in the financial markets critical, investors sell risky assets, such as the Russian Rouble, stocks, etc. and buy gold. As security asset is the dollar. A few days ago sparked the growth of the news about the decline of Portugal's sovereign rating agency Moody's. Investors felt that it speaks about the instability in the Eurozone. The fact that debt problems are not solved yet. In addition, the negative data come from Germany, the strongest economy in Europe. The index of investor confidence in the economy of Germany in July fell to lowest in 15 months mark 21.2 points versus 28.7 points in the previous month. While the experts polled by Bloomberg, were convinced that the figure will drop only to 25.3 points. Also, market participants frightening situation in the U.S.. Budget deficit - more than one trillion dollars national debt - more than $ 13 trillion. Moreover, unlike in the eurozone countries, the United States are increasing their spending and debt. As experts of the Bank of Moscow, the U.S. Federal Reserve recently began to think about, to give new impetus to economic stimulus programs. Among the incentives offered to take on more stringent commitments to keep its key interest rate at a low level. Moreover, it is possible to reduce interest rates on bank deposits at the Fed from 0.25% to 0%. That is, the money will be distributed to banks, in general, for free. It is likely that the U.S. monetary authorities expand the program to buy mortgage-backed securities amortization of assets already purchased so that cheap mortgage refinancing has become more affordable. In general, all of this suggests that the U.S. market will become even greater. And that could mean lower cost of U.S. currency. In this case, the debt problems of the eurozone will not disappear. Moreover, China will not develop as strong as before. Investors will look for "safe haven" where you can "escape", "hide" their day. And it may happen that the only defensive asset is gold. With specific regard to Russia, the situation is the same ambiguous. "In Russia, it was announced to increase the expenditure budget this year from 7 trillion. to 7.8 trillion. We do not exclude that the costs are financed and "printing press", which means that precious metals prices in rubles may be more stable ", - analysts believe the bank. In this case, it should be noted that the cost of this metal is too high. At some stage you may encounter problems with the demand. Since funds will not be easy to buy such an expensive asset. However, analysts said Deutsche Bank, currently on the market of raw materials is obvious rapid rise, both in nominal and in real terms. And the gold of the dynamics are still lagging behind other commodities. In their view, investors will find the price of this precious metal extreme but at around $ 2000 per ounce. In addition, while investing in gold have been extremely effective. For example, according to the Center for Macroeconomic Research and Strategic Studies (TSMEI) of BDO in Russia, depersonalized metal accounts (CBOs) in the gold brought to their owners 3.73% real ruble profitability for June. Real return for the year - 23,9%. This is not any comparison to conventional deposits and, especially, with investments in real estate (they showed a negative rate of return). "Prospects for investment in the precious metals continue to look attractive, primarily because of the persistence of tensions in financial markets", - noted in the review of BDO. But be careful! At OMC insurance on deposits are not covered.