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3 smart gold moves to make while the price is dropping
Interest in gold investing has surged since the start of the year, fueled in large part by a sustained upward trend in gold prices. Over the last 11 months, the price of gold has climbed to new heights while consistently breaking previous price records and attracting even more investors to the precious metal. Given gold’s price trajectory, some analysts have even predicted that the price of gold would reach $3,000 per ounce before the end of 2024.
This month, however, has led to an unexpected twist for gold investors. In early November, the price of gold began to slide, dropping from a near-record high of $2,736.35 per ounce on November 1 to where it sits today at just $2,560.90 per ounce. This downturn has prompted many investors to wonder whether it’s time to reevaluate their precious metal investing strategies.
Price fluctuations are part of investing, however, especially when it comes to longer-term investments like gold. Still, understanding how to react during such declines can help investors make the most of a dip in gold’s value. And with the potential for gold’s value to fluctuate in the coming months, there are a few moves in particular that investors may want to make now that the price is dropping.
Learn how to add gold to your portfolio today.
3 smart gold moves to make while the price is dropping
Here are three smart moves to consider while gold prices are on the decline:
Dollar-cost average into physical gold
When gold prices retreat from their peaks, implementing a dollar-cost averaging strategy can be particularly effective. Dollar-cost averaging into physical gold is an investment strategy where you buy a fixed dollar amount of gold at regular intervals, regardless of the current market price. Instead of trying to time the market by waiting for prices to drop significantly, this allows you to accumulate gold gradually over time. By investing consistently, you automatically buy more gold when prices are low and less when prices are high, which helps to reduce the impact of short-term market fluctuations on your overall investment.
To start dollar-cost averaging into gold bars and coins (or other types of gold bullion), decide on an amount you can comfortably invest each month (or at another set interval). For example, if you decide to invest $200 in gold each month, you’ll buy $200 worth of gold every month, whether the price per ounce has increased or decreased. Over time, this approach averages out the cost per ounce of gold in your portfolio, potentially lowering the overall price you pay compared to lump-sum investing.
Find out more about the benefits of gold investing here.
Explore gold mining stocks at discounted valuations
Exploring gold mining stocks at discounted valuations can be a strategic way to gain exposure to the gold market without directly buying physical gold. When the price of gold drops, mining companies often see their stock prices decline as well, making these stocks potentially undervalued. So, investing in gold mining stocks now could allow you to benefit from the profitability of these companies when gold prices rebound, as their earnings and stock values generally increase with rising gold prices.
To get started, research well-established mining companies with strong track records and solid balance sheets. Focus on companies with efficient production methods, low debt levels and mines in politically stable regions. This can reduce some of the risks associated with mining, such as production disruptions and regulatory issues, which can impact profitability. During the process, you may also want to explore gold exchange-traded funds (ETFs) to diversify your exposure across several companies.
Rebalance your precious metals portfolio
Market corrections also provide an excellent opportunity to reassess and rebalance your precious metals holdings. So, it may be worthwhile to consider diversifying across different forms of gold investments, including physical bullion, mining stocks and gold ETFs. Each vehicle offers distinct advantages and risk profiles and maintaining a balanced approach can help optimize your portfolio’s performance across different market conditions.
This is also an ideal time to evaluate your overall precious metals allocation within your investment portfolio. While some investors maintain a standard 5% to 10% allocation to gold, your specific percentage should align with your risk tolerance and investment objectives. Use this period of lower prices to adjust your holdings accordingly, ensuring your gold position remains in the recommended proportion.
The bottom line
The key to successful gold investing lies not in reacting emotionally to short-term price swings but in maintaining a disciplined, long-term approach. Whether you’re a seasoned precious metals investor or just beginning to explore gold as an investment option, these market conditions may present valuable opportunities to enhance your portfolio’s position in this enduring store of value.
As you navigate the shifting gold market, though, just remember that gold’s recent price decline doesn’t necessarily signal a long-term trend reversal. Historical patterns suggest that corrections are normal and healthy within broader bull markets. By implementing these strategic moves during price dips, you may be able to strengthen your position and capitalize on future market movements.
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Tennessee DA accused of firing multiple times at fugitive, hitting home with woman and her 3 children inside
A district attorney in Tennessee is facing a reckless endangerment charge after shooting at a fugitive several times and hitting a home that had a woman and her three children inside.
The Tennessee Bureau of Investigation announced the grand jury charge Monday against District Attorney Chris Stanford. His district covers Van Buren and Warren counties.
The indictment says that as the incident unfolded in Smithville on Nov. 21, a bullet Stanford shot from his handgun went through a front porch patio chair, through an exterior wall and into the living room wall of the home. The woman and children weren’t hurt.
Smithville is about 60 miles southeast of Nashville.
The indictment says that Stanford fired the shot “unlawfully, intentionally and recklessly.” There was no immediate threat to him or others, he wasn’t aiming the handgun, and “just held it out and shot” without using the gun’s sights, the indictment adds.
Following his indictment, Stanford surrendered at the DeKalb County Jail and was released after posting a $10,000 bond, TBI said. A message left with Stanton’s office was not immediately returned Tuesday.
The Warren County Sheriff’s Office described the circumstances leading to the incident last month. In a social media post, it said authorities were pursuing suspects after finding three dead bodies at a house and at an adjacent building.
The suspects were sighted in DeKalb County, the sheriff’s office said. One of them was taken into custody without incident. Stanford and other law enforcement officials chased the other suspect, who was a passenger in a car, the office said.
While trying to help the suspect flee, the driver struck a homeland security officer with the car, the sheriff’s office said.
In a statement last month to CBS affiliate WTVF-TV, Stanford said he fired shots in response to the homeland security agent being hit. No one was shot when Stanford fired his gun. The homeland security officer was injured and taken to the hospital, according to a social media post by District Attorney Bryant Dunaway.
“The vehicle then drove toward me and others, accelerating quickly. I fired my service weapon in defense of myself and others at the scene. Based upon my training and the circumstances that presented themselves, I believe my actions were necessary and justified,” Stanford said.
Stanford also told the news station he has a state law enforcement certification to carry his weapon at all times.
The two suspects in the three deaths were taken into custody and charged with criminal homicide, while the driver, also taken into custody, faces felony evading arrest and aggravated assault charged, according to the sheriff’s office.
Stanford will make an appearance in court on Jan. 7, WTVF reported. Since he showed up at the scene and fired his weapon, he is now a witness and cannot prosecute the triple murder in his own county, the station reported.
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Accused mastermind of journalist’s murder wanted by Mexico — but U.S. has called him a “protected witness”
Mexico has asked the United States to extradite the suspected mastermind behind the murder of journalist Javier Valdez after he was arrested on drug charges, the attorney general said.
Damaso Lopez Serrano — who the Justice Department says is known as “Mini Lic” — is accused of ordering the 2017 killing of Valdez, an award-winning journalist and AFP contributor who covered the narcotics trade.
The alleged former high-ranking member of the Sinaloa Cartel was arrested on Friday in Virginia on charges of trafficking fentanyl. Lopez Serrano is the son of Damaso Lopez Nunez, who launched a struggle for control of the cartel following the arrest of its leader, Joaquin “El Chapo” Guzman.
Mexico’s Attorney General Alejandro Gertz described Lopez Serrano as the “mastermind” behind Valdez’s murder.
“We have already prosecuted the rest of the perpetrators and they are in jail,” he told a news conference.
Valdez was shot and killed in his car on May 15, 2017 in the Sinaloa state capital of Culiacan near the offices of his weekly newspaper Riodoce.
Investigators believe Lopez Serrano ordered the hit because he was angry about information published by Valdez about the Sinaloa Cartel’s internal power struggles.
Mexico has made several extradition requests for Lopez Serrano, who surrendered to U.S. authorities in July 2017 for drug trafficking and cooperated in exchange for a reduced sentence. At the time, the U.S. Drug Enforcement Administration said Lopez Serrano was “believed to be the highest-ranking Mexican cartel leader ever to self-surrender in the United States.”
He was released from prison on parole in 2022.
Gertz said that Mexico had asked “on countless occasions” for Lopez Serrano to be handed over, but Washington declined because he had become a “protected witness” and “was giving them a lot of information.”
He voiced hope that with Lopez Serrano’s latest arrest “there are more than enough reasons” for the United States to finally grant Mexico’s request.
Wracked by violence related to drug trafficking, Mexico is one of the world’s most dangerous countries for journalists, news advocacy groups say.
Reporters Without Borders says more than 150 newspeople have been killed in Mexico since 1994 — and 2022 was one of the deadliest years ever for journalists in Mexico, with at least 15 killed.
Media workers are regularly targeted in Mexico, often in direct reprisal for their work covering topics like corruption and the country’s notoriously violent drug traffickers.
Most recently, in October, gunmen killed a journalist whose Facebook news page covered the violent western Mexico state of Michoacan. Then less than 24 hours later, an entertainment reporter in the western city of Colima was killed inside a restaurant she owned.
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2 sisters, 7 years apart in age, also receive heart transplants 7 years apart in Chicago
CHICAGO (CBS) — Two sisters have grateful hearts after they both received heart transplants at the same age—seven years apart.
Younger sister Meredith Everhart and older sister Abbey Cannon are now bonded by a genetic condition and a second chance at life.
“What’s ironic is that when she needed a heart transplant, was exactly the same age I needed a heart transplant,” said Cannon. “Seven years apart in age, seven years apart within 30 days of transplant, and our birthdays are within 30 days.”
The sisters share a special bond of getting a second chance at life, which they both received at the age of 38 years old.
Both sisters suffer from hypertrophic cardiomyopathy—otherwise known as HCM.
The genetic condition is a form of heart disease that causes the heart muscle to thicken.
In 2012, Cannon had chest pain. She was misdiagnosed in Nashville, Tennessee, and got a second opinion at Northwestern Medicine in 2016.
“Within six months, I was inpatient on an aortic balloon pump waiting for a heart,” Cannon said. “I ended up getting my heart 32 days later, So my date is February 27, 2017.”
Just months after Cannon’s transplant, Everhart was diagnosed with HCM too. She tried medication and participated in clinical trials, but her condition kept getting worse.”
“For me, it was, she’s right—I was in denial for a long time,” said Everhart, “and I didn’t want to be sick. I was in my 20s. I was in my early 30’s. I was like, this is not happening. I saw how bad she suffered.”
In May 2022, Everhart got COVID-19, and it sent her into heart failure.
She was added to the transplant list one year later.
“I got the call on January 29 of this year, 2024, and it’s been a journey,” Everhart said. “It’s been fantastic though. Northwestern has been great.”
Cannon said she can’t stress enough how important it is to become an organ donor.
“Had we not had someone that gave that most selfless gift, neither of us would be here,” she said.