Monday, 1 October 2012

To Buy Copper Bullion Is A Common Sense Move

By Patrice McCoy


Through economic history it has become tradition to purchase silver and gold during hard times. This is a traditional approach that follows the same pattern. This time gold prices have seen astronomical highs, with an ounce exceeding fifteen hundred dollars for the first time ever. Silver has also experienced great increases with ounces selling for as much as forty give dollars each. In this fast changing global economy there is a need for alternative traditions. The growing trend is to buy copper bullion.

It is not in the category of precious metals like gold. It is a nonrenewable material. This means that once it is all mined there will be no more. It will by definition join the list of precious metals the source is exhausted. This is an opportune time to get started on what is now a ground floor investment opportunity. As time progressed the chances to invest at such a low price will be history.

It is trading for approximately three dollars and fifty cents for a pound. This is equivalent to twenty two cents per ounce. It would take seventy five hundred pounds of it to match the price of an ounce of gold. It is a good place to begin investing in metals. In the long run the only place it can go is up.

Dishonest people have begun to focus on it. The housing market downturn has left many homes empty. Thieves, looking for easy money, have begun stripping wiring and plumbing and selling it for scrap. With an average of four hundred pounds of copper in a home, this could translate into a significant sum. Thieves have even been bold enough to steal copper from homes that were not vacant.

A small part of the stock market focuses on penny stocks which are generally valued at one dollar or less. If a penny stock goes from twenty five to fifty cents it has doubled in value. If managed well this can be a great way to get high returns. Copper is the same way. Two hundred dollars invested in it could have a much higher growth potential than the same amount of silver or gold.

Part of the astronomical rise in the value of gold is due to speculators around the world. This is the same phenomenon that drives up the price of oil. This situation fosters high volatility and chances to lose money. A higher level of assurance could be obtained by diversifying between metals.

The greatest bullion of modern times is the Statue of Liberty. It was a brownish color when built but has since gone to a blue green color with age. The bullion would go through the same steps. The color would change, but the value would not be affected at all.

The American dollar is the most traded currency of all. Many are concerned with the potential for it to further decrease in value. If there is a global economic collapse there will be a need for good bartering currency other than talents and time. This may be the ultimate reason to buy copper bullion.




About the Author:



No comments:

Post a Comment