December 22, 2009 - Investment in Gold Bullion Signals Upswing
A continuing indication of the upswing in the United States economy during the Obama presidency is strong sales of gold bullion. In spite of a late release of the American Buffalo $50 gold bullion coin, investors have claimed an impressive amount of this valuable commodity, leading many economists to conclude that the economy is turning the corner to recovery. In addition to the American Buffalo and the American Eagle, proof Buffalo coins made their appearance late in the year, further spurring investment and leading the recovery.
The American Eagle has been used the standard gold bullion in the United States since 1986. A newcomer, the American Buffalo was introduced during the previous Republican administration, with a mandate that quantities be made available on an annual basis. In spite of a late release date for 2009, the American Buffalo has joined the Eagle to form a strong investment vehicle.
Through November, buyers purchased nearly 1.2 million American Eagle coins, which represented steady sales throughout the year. The American Buffalo, which was not released until October, continued its strong showing with nearly two hundred thousand sales in just two months.
At times, sales of gold bullion can signal economic distress, because of its inverse relationship with the US dollar. In the current market, however, gold is tracking much like stocks and other securities, showing a strong rebound that has followed the economic stimulus plans introduced by President Obama. These indicators bode well for the economy as the country heads into the New Year on a positive note and investment in gold bullion is on an upswing.
