Gold Spot Price $1691.2 -2.00    Silver Spot Price $31.77 +0.01    Platinum Spot Price $1545.00 +1.00    Call Our Gold Bullion Hotline at 800-300-0715 For Live Quotes On Gold Coins And Bars - Always Free, Insured Delivery.
Daily Gold Bullion Update

October 13, 2009 – Banks nationwide are failing at a quicker pace than previously expected, and problems with banks are occurring at a much faster pace this year than in 2008. The troubled banking sector has caused many savers to withdraw their funds in order to store the wealth in a more secure way, and many of these investors are gravitating to the gold bullion market.

Gold bullion is valued as an extremely easy and private way to store wealth. Gold’s current value of $1064 per ounce allows investors to store a large amount of wealth in a small space. Physical gold bullion will not accrue interest as a savings account or certificate of deposit (CD) would, but the peace of mind that comes with holding physical gold is preferred by many investors, who do not trust the banking system, or the FDIC who insures it (or so we’ve been told). Bank watchdogs have issued 29 “prompt corrective action” letters since August, which is up from only 7 during the same period a year ago. These letters are put in the mail when bank regulators determine that a bank has become under-capitalized. Under-capitalization means that the bank doesn't have enough protection against future losses that it may incur.

There have been 98 bank failures so far in 2009, which has left the FDIC, ironically, with a bank overdraft. The independent entity that insures bank deposits now needs to borrow from its policyholders in order to stay afloat, and this set of circumstances has scared many investors away from bank accounts. Gold bullion and certified coin investments are projected to outperform returns from US stock markets during the next two years, so investors who want to control their own wealth are encouraged to research these investment avenues further. 

Daily Updates Archive

Jonathan Monroe

Senior Staff Writer -

RSS icon
Call Our Bullion SpecialistsFree Info On Gold BarsGold Bullion IRAGold Bullion Depositories
RSS Big Icon