virtually guarantee the Fed will ease monetary policy in early 2008--sending the U.S. dollar even lower against other world currencies.
New York, NY (PRWEB) January 8, 2008
Profit Confidential, a division of Lombardi Financial, one of the world's largest newsletter advisory companies, today issued its 2008 forecast for gold bullion prices.
Last year Lombardi's Profit Confidential predicted "2007 to be another banner year for gold bullion." And that's exactly what we got. Gold bullion prices rose from $650 U.S per ounce in the first few days of January 2007 to $838 an ounce on December 31, 2007, making gold one of the best performing investments of the past year.
In his report, Michael Lombardi states "I've been bullish on gold since 2002 and I'm as bullish now as I ever was courtesy of a weakening U.S. economy, a plunging U.S. dollar and a credit crisis far from over. Since the beginning of 2001, when gold traded at $269 U.S. per ounce, until today, gold is up 219% in six years. Back in early 2007 I called gold bullion 'The Six-Year Bull Market No One is Talking About.' In 2008, I expect gold to mark the seventh year of its on-going bull market."
On a fundamental basis, Lombardi's Profit Confidential says the poor U.S. economy and the continuing flow of negative financial news from the U.S., in its opinion, "virtually guarantee the Fed will ease monetary policy in early 2008--sending the U.S. dollar even lower against other world currencies."
According to Lombardi, "Investors will run to gold bullion as the most stable currency available. China has made its preference for gold known… and I can't see the Chinese (sitting with over $1 trillion U.S. dollars) running to yen or euros."
On the technical side, the advisory reports gold is now at the strongest point in six years. Lombardi states "Yes, I do expect gold to correct lower soon from its current overbought status, but I see the coming natural correction in gold bullion prices as a buying opportunity. Remember, December 2007 was the first time in history that gold bullion closed out a month decisively above the very important $800 U.S. per ounce level."
Lombardi's Profit Confidential is predicting 2008 will be a banner year for gold bullion with the yellow metal topping $1,000 U.S. per ounce.
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About Lombardi and Profit Confidential:
Profit Confidential is Lombardi Financial's free daily investment e-letter. Written by financial gurus with over 100 years of investing experience, Profit Confidential analyzes and comments on the actions of the stock market, precious metals, interest rates, real estate, other investments and the economy. Lombardi Financial is a division of Lombardi Publishing Corporation, founded in 1986, now with over one-quarter million customers in 141 countries.
For more information, visit: http://www.profitconfidential.com