Los Angeles CA, August 7 (Tangible Investments) - by James O’Dell - Gold and Silver turned sharply higher on Wednesday with Gold climbing $17.40 or 1.35 percent to close at $1,305.70 an ounce amid increasing safe-haven demand and short covering on rising geopolitical concerns that Russia could be on the brink of a military incursion into Ukraine. Silver added $0.24 or 1.21 percent to close at $20.02 an ounce, while the Gold/Silver ratio inched up to 65.22.
U.S. Defense Secretary Chuck Hagel had this to say on Wednesday about the possibility of Russia invading Ukraine, “It’s a reality, it’s a threat, it’s a possibility – absolutely,” he said. Russia has amassed around 20,000 combat ready troops on Ukraine’s eastern border once again, and a NATO spokesperson warned that Moscow may try to use “the pretext of a humanitarian or peace-keeping mission as an excuse to send troops into Eastern Ukraine.”
Russian President Putin's tit-for-tat economic sanctions further tested relations between the West and Moscow on Wednesday, while driving investors out of high risk assets like stocks and into the safe-haven of Gold. President Putin put restrictions on the importation of food and agricultural from countries that imposed or supported the imposition of sanctions against Russia. Putin has refused to bow to the sanctions, and “to protect national interests,” he will rely on producers and retailers in his nation to increase domestic supplies to avoid inflating food prices.
"There are a lot of crosswinds going on for Gold," said Deutsche Bank's Michael Lewis. "You have long-term U.S. real yields going down to new lows and geopolitics, which should be supportive, but on the flip side you have dollar strength coming through and equities hitting new highs."
Preserve your wealth and secure your retirement by making a tangible investment in physical Gold and Silver in 2014. Call Toll Free 1.800.741.5014 and allow the friendly staff at Tangible Investments (learn about us here), owned and operated by world-renowned coin expert Silvano DiGenova, to assist you in your next purchase or sale. We hope you will share our site with your friends on Twitter and Facebook, but whatever you do, don't leave the site before claiming your Free Coin.