HOUSTON, July 5, 2018 /PRNewswire/ — Nationwide Coin & Bullion Reserve wants to help protect yourself against the dangers of inflation, by investing in precious metal assets. After a long slumber, in response to robust economic growth and an increasingly tight labor market due to new jobs that require fresh skills, inflation is rising. Are you prepared for this new and competitive economic environment? Do you know if your investments are safe? As a traditional hedge against inflation, historically gold and other precious metals have performed well under these circumstances.
Producer Price Index
The PPI (producer price index) has been rising at its fastest pace in almost six years, up 3.1 percent over the 12 months ending in November, according to the Bureau of Labor Statistics. The PPI rose a higher-than-expected .4 percent during November 2017, while the core wholesale inflation rate, which excludes the most volatile components of food and energy, also jumped .4 percent during the month. Core wholesale inflation for the 12 months ended in November climbed at its quickest pace in more than three years, up 2.8 percent. PPI prices are a leading indicator of U.S. inflation rates, and usually, filter down to consumers in a matter of months.
To help combat the continued inflationary pressure on the U. S. economy, in March 2018, the Federal Reserve raised its benchmark short-term interest rate by .25%, to a range between 1.5% and 1.75% percent. Concern for an economy that’s overheating is well known and could help Gold in the long term if we begin to experience signs of hyperinflation. In its most recent update, the Fed also said that it intends to stick to its plan of raising interest rates three times in 2018, leaving one final interest rate adjustment expected later this year.
Invest in Gold
In an environment of expected rising inflation—but not dramatically higher interest rates—gold should be positioned for a strong performance in 2018 and onward into 2019. If you haven’t invested in gold yet, or if you’re looking for a reliable online gold dealer with a fair price, contact Nationwide Coins or visit our website.
With over 100 years of combined experience, the team at Nationwide Coins guarantees the highest quality gold and caliber of service to help you prepare for retirement or the next economic collapse.
This article provided by NewsEdge.