CBS News
4 gold investing moves beginners should make this spring
With inflation stubborn (if cooled) and interest rates still elevated (if paused), investors need to be more judicious than usual with how they spend their money and where they keep it. Now, especially, it’s important to put your money in assets that can offer both protection and the potential for long-term growth. One such asset that many have turned to in recent years is precious metals, specifically gold and silver. Gold investing, in particular, hit an 11-year high last September and it’s easy to understand why.
Gold offers protection against inflation and can help with portfolio diversification. It can also safeguard your bottom line when other assets look unsteady, as many have in the face of inflation and high interest rates. That noted, timing is critical and right now is a great time for investors to get involved in gold. Below, we’ll review four gold investing moves beginners should make this spring.
Start by exploring your gold investing options online today.
4 gold investing moves beginners should make this spring
Here are four gold investing moves beginners should make this spring.
Understand your options
You may have seen television commercials highlighting gold bars and coins but those aren’t the only types of precious metal investments beginners can utilize. Gold IRAs, for example, can be ideal for retirement planning while gold exchange-traded funds (ETFs) may be preferential once your gold knowledge and understanding has increased. But don’t just jump in without understanding all of your options in advance. Utilize this time of lower inflation and elevated interest rates to improve your knowledge of this unique investment opportunity. This will boost your chances of gold investing success.
Learn more about investing in gold here.
Know your goals
Gold can generate income. But it’s not likely to generate income overnight – or as consistently or as quickly as other asset classes can. This is not a negative feature but it’s something to keep in mind for gold investing beginners. Know your goals, then, before getting started. If you’re looking for a hedge against inflation, a portfolio diversifer and a general buffer against the volatility of the overall market then gold can be beneficial for you. But if you’re looking for quick returns other investments may be preferable right now.
Get started
Once you understand your options and know your goals it’s important to get started. There are multiple, reputable gold IRA companies to utilize online right now. You can also use a local retailer if you prefer the liquidity physical gold bars and coins offer. You can even use big-name retailers like Costco and Walmart, which sell gold bars and silver coins online today (the former of which sold out quickly last summer). But don’t hesitate to get started now, as our next point demonstrates.
Monitor trends and prices
Gold hit a record high of $2,160 per ounce earlier this month. While it’s dropped slightly since it’s important to buy in now, before the cost becomes prohibitive. And you should monitor trends and prices after you’ve invested for opportunities to sell your investment – or buy more. Factors like inflation and geopolitical turmoil can easily affect your investment, which you should monitor closely just like you would any other.
The bottom line
If you’re a beginner gold investor now is a great time to get started. Thanks to the hedge against inflation it can provide, portfolio diversification and rising value, gold is particularly beneficial to invest in right now. But beginners need to be smart with their approach. This means understanding all of their potential investment options, knowing their goals, being proactive and getting started and, then, not becoming complacent and instead monitoring trends and prices. By making these four moves now beginners will boost their chances of success with gold this spring and in the months and years ahead.
CBS News
CDC confirms first severe bird flu case in the U.S.
A person in Louisiana has the first severe illness caused by bird flu in the U.S., the Centers for Disease Control and Prevention announced Wednesday.
Officials determined the patient had exposure to sick and dead birds in backyard flocks, though an investigation into the source of the infection in the state is ongoing. This is also the first case of H5N1 bird flu in the U.S. that has been linked to exposure to a backyard flock, a news release noted. Officials have not shared details on the patient’s symptoms.
The case was first confirmed by health officials Friday, adding to the total of 61 reported human cases of H5 bird flu reported in the United States. Another severe case of H5N1 has been reported in a teen in British Columbia.
A release from the Louisiana Department of Health Wednesday added the patient, a resident of southwestern Louisiana, is currently hospitalized. Until now, the H5N1 cases in the U.S. have been mild, including conjunctivitis and upper respiratory symptoms.
“While the current public health risk for the general public is low, people who work with birds, poultry or cows, or have recreational exposure to them, are at higher risk,” the state’s health department added.
Mild illnesses have been seen in dairy and poultry workers who had close contact with infected animals. In two cases, no known source of the illnesses have been identified, which has worried infectious disease experts about the possibility of human-to-human transmission, which could trigger a pandemic.
CBS News
Houston father desperate for help after wife recovering from C-section, kids deported to Mexico
Be the first to know
Get browser notifications for breaking news, live events, and exclusive reporting.
CBS News
Are gold ETFs a good investment now that the price is dropping?
Gold has long served as a safe-haven asset for investors during times of economic uncertainty and market volatility, which is a large part of why it has been so popular over the past year. Thanks to that uptick in gold interest, the price of gold has been climbing throughout much of 2024 — hitting multiple record highs and surpassing $2,700 per ounce at one point late in the year. That price trend has been shifting lately, though, and over the last few weeks, there have been significant fluctuations in gold prices, with the price of gold dropping over the last few days in particular.
With gold’s price currently sitting at under $2,650 per ounce, today’s lower price is prompting many investors to reassess their positions in gold-related investments — including gold exchange-traded funds (ETFs). These investment vehicles, which track the price of gold without requiring physical ownership of the precious metal, have become increasingly popular among retail and institutional investors alike. Much of the appeal of gold ETFs lies in their simplicity and accessibility. Unlike physical gold, these funds can be easily bought and sold through standard brokerage accounts, offering investors a convenient way to gain exposure to gold price movements.
But while the current price dip could present a good opportunity to buy into gold at a discount, it makes sense to remain cautious about any type of investment right now. So is investing in gold ETFs still a good strategy now that the price of gold is slipping?
Find out how to add gold to your portfolio today.
Are gold ETFs a good investment now that the price is dropping?
When gold prices drop, it can create opportunities for investors to buy at a lower cost, potentially increasing their returns if prices rebound. Gold ETFs provide an easy way to capitalize on this strategy. Unlike physical gold, ETFs can be traded on stock exchanges just like equities, offering liquidity and convenience. They also eliminate the need for storage and security concerns associated with owning physical gold.
There are also a few other reasons to consider investing in gold ETFs despite the current price drops. For starters, gold ETFs offer an efficient way to implement dollar-cost averaging during price dips. By regularly investing fixed amounts, investors can potentially lower their average purchase price over time. This strategy can be particularly effective during periods of price volatility, allowing investors to accumulate positions at various price points.
And while gold prices may be dipping now, it’s unlikely that today’s lower prices will remain the status quo over the longer term. Gold prices have historically rebounded and grown over longer time horizons, so while the current price may be lower than it was a few weeks ago, it could represent a good entry point for long-term investors. That’s particularly true if the fundamental factors supporting gold prices remain intact, such as inflation concerns, currency devaluation risks and global economic uncertainties.
However, investors should consider that there are risks to investing in gold ETFs. One issue is that gold ETFs are subject to market volatility and may not provide immediate returns — so it’s important to make any investing decision based on your unique investment goals and strategy. Gold also generates no income or dividends, making it a pure price appreciation play. The opportunity cost of holding gold ETFs also becomes more significant in high-rate environments where yield-generating investments become more attractive.
Diversify your investments by adding gold to your portfolio now.
Who should invest in gold ETFs now?
While investing in gold ETFs may not make sense for all investors right now, it could be particularly suitable for certain types. For example, investors who need to diversify their portfolios may find gold ETFs attractive, as gold has historically shown a low correlation with traditional asset classes like stocks and bonds. So, the current price drop could present an opportunity to achieve portfolio diversification at more favorable prices.
Risk-conscious investors who are looking to hedge against inflation, currency risks or geopolitical uncertainties might also want to consider adding gold ETF exposure. After all, with the uptick in inflation over the last few months, gold’s historical role as a store of value remains relevant right now, despite the potential for short-term price volatility. Long-term investors might also find current prices attractive in terms of building strategic positions.
However, short-term traders and income-focused investors may want to exercise caution when it comes to gold ETFs. Gold’s price volatility can make short-term trading challenging, while the lack of yield may not align with income-oriented investment objectives.
The bottom line
The current drop in gold prices presents an intriguing opportunity for investors who are interested in gold ETFs, but it’s essential to weigh the potential risks and rewards of this type of gold investing carefully. Gold ETFs offer a convenient and liquid way to gain exposure to gold, making them a viable option for many investors, but they are just one of several ways to invest in this precious metal. Whether or not gold ETFs are the right choice for you will ultimately depend on your investment objectives, risk tolerance and overall portfolio strategy, so before you buy in, do your homework to make sure your decision aligns with your long-term goals.