“When crude oil was $107 a barrel a few weeks ago, with gold at $1650, a barrel of crude oil cost 2 grams of gold. Now with crude oil at $94 and gold at $1550, a barrel of oil only costs 1.9 gold grams. So, by owning gold, your purchasing power over the last few weeks increased by 5% versus oil.

Admittedly, one would have done better if they were holding dollars, but who wants all that risk? You have to find a safe bank to place those dollars, and then be guaranteed that the Fed is not going to launch QE3. You would also need to be guaranteed that the federal government is going to drastically shrink its deficits.

My opinion is that holding physical gold, with no counterparty risk, and continuing to accumulate more on dips, is how savvy investors are positioning themselves. The same logic also applies to silver.”

I believe that it’s time to buy some physical gold and silver.  Remember you can get free shipping on your bullion by using silvergoldbull.com coupon.