3 big reasons to invest in gold this April

By investing in gold this April, investors can secure a hedge against still-elevated inflation.

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It’s never a bad idea to spend some time reviewing your investments. And with inflation still persistent, if cooled significantly, and Interest rates stuck at their highest point in decades, now is as good a time as any to take a closer look at where your money is invested. While stocks and bonds may be smart, especially after recent levels of stock market performance, they aren’t the only investment to consider this spring.

In recent years, investors have also turned to it GOLD. Investing in the precious metal took a hit 11-year high last September and the price of the precious metal has broken numerous records in the last year. As March comes to a close and with a new inflation report and the Federal Reserve’s April meeting, many may be wondering if now is still a good time to invest in the yellow metal.

Fortunately, for many investors, it still can be. Below, we’ll detail three reasons why you should invest in gold this April.

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3 big reasons to invest in gold this April

Here are three timely reasons to invest in gold now.

Inflation is still ongoing

Of course, inflation has fallen dramatically from a decade high in June 2022, but is still rising, just at a slower pace. February was up 3.2% year-on-year. That’s up from January and more than a point above the Federal Reserve’s 2% target. Against this background – and with no one knowing for sure when inflation will be under control – it makes sense to invest in gold for April.

Gold often acts as an inflation hedge maintaining and potentially even increasing in value when other assets look shaky and the value of the dollar erodes. It’s not always a direct correlation, but when inflation is persistent, as it has been for much of the past two years, gold often performs well. So now may still be a good time to invest.

Learn more about the benefits of investing in gold here.

Gold prices are elevated

The price of gold has already reached record levels twice this month, underscoring the potential interest and benefits investors can secure with the precious metal. And this price may go even higher in April and the following months.

So it makes sense to buy now before the price becomes unaffordable. By doing so, investors will immediately receive the portfolio protection that gold provides, while also opening up the opportunity to sell the precious metal at a quick profit (a rarity for an asset not known for rapid revenue generation).

There will be other needs

Even if inflation is brought under total control, there will be other immediate circumstances in which holding gold in one’s wallet will be beneficial. Geopolitical unrest is high and this often results in a demand for gold and a subsequent price increase.

An election year in the United States could also contribute to short-term economic uncertainty, and the high interest rate environment could also have an impact. Plus, inflation is cyclical, so it will return at some point in the future. But if investors start with gold in April, they’ll be better prepared to handle it when it happens.

After all

There are always preferential times to invest in certain assets. Gold has experienced one of those swings in momentum in recent months and years and is unlikely to adjust dramatically next month. Because inflation is still persistent, prices are high and other economic indicators are still unknown, it may be smart to invest in gold this April. Just make sure you weigh it Pros and cons of the precious metal against your broader financial goals to improve your chances of investing success.

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