The EPN podcast network chose to host Philip N. Diehl for an informative interview on the subject of gold coins. Diehl did not discuss the collecting of gold coins. He addressed many reasons why people are buying them for investment purposes. Diehl does know a lot about the subject. He is the President of U.S. Money Reserve in Texas, a company that distributes a tremendous amount of gold to investors all over the United States. Diehl also knows about the minting of gold coins. He was once the Director of the U.S. Mint, and his tenure at the Mint was an exceptional one.
Gold investing is hot right now. During the interview, Diehl was asked about the factors that are causing such a huge interest in the sale of gold. Speculators are among those Diehl believes have spawned great interest among investors.
Speculators do help drive the price of gold. Even when speculators are not having a tremendous impact on the price, their activity in the market does shape the opinions of others. When speculators go out on television and say they believe the price of gold is going to rise, a lot of investors are swayed to buy. Significant movements of the sale of gold just might lead large numbers of people to also make purchases.
Speculators are not the only contributors to the huge interest in gold investing. Serious worries about the fall of the dollar and the Federal Reserves’ monetary policy does drive interest in gold. The dollar has done quite strongly for years, and Diehl states that high valuation of the dollar likely leads to the currency’s eventual dropping. Gold can hedge against currency devaluation just as it hedges in stock market bear conditions.
At U.S. Money Reserve, Diehl runs a company that seeks to supply gold buyers with quality coins. The bulk of the coins sold by U.S. Money Reserve are from the U.S. Mint. This alone speaks volumes of their value. Legal tender from the U.S. Mint is going to be more attractive to cautious buyers than bars and bullion.
Towards the end of the interview, Diehl tells the listeners that all forms of gold investing should be part of a long-term strategy. Buying and quickly flipping gold for a profit is probably not the wisest plan to have. Holding onto gold for many years is probably what most conservative investors want to do anyway.
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