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Ukraine says it blew up a Russian naval commander with a car bomb in occupied Crimea
Kyiv, Ukraine — Ukraine orchestrated an attack on the Russian-annexed Crimean peninsula that killed a high-ranking Russian naval officer, sources in Ukraine’s security services told the AFP and Reuters news agencies Wednesday. The killing, which was confirmed by Moscow, is the latest in a string of targeted attacks on Russian military officers and pro-Kremlin public figures in occupied Ukrainian territory and within Russia.
A source in the Security Service of Ukraine told AFP it had orchestrated a car bomb attack in the city of Sevastopol that killed senior naval officer Valery Trankovsky, a first rank captain in Russia’s Black Sea Fleet.
“As a result of the explosion, the Russian captain’s legs were blown off and he died of blood loss,” the source added in written comments. It described Trankovsky as “war criminal” responsible for the launch of cruise missiles from the Black Sea at civilian targets in Ukraine.
The car exploded and caught fire in the city’s eastern Gagarin district around 2 a.m. Eastern, the Russian-installed Sevastopol governor, Mikhail Razvozhayev, said.
“As a result of an improvised explosive device fixed to the bottom of the car exploding, a Russian armed forces serviceman was killed,” Russia’s Investigative Committee said in a statement after the incident, without naming Trankovsky.
They said they had opened an investigation into “the fact of committing a terrorist attack.”
A witness who spoke to the Moskovsky Komsomolets tabloid said the driver was thrown by the impact on to the passenger seat and “everyone realized immediately that he had been blown up.”
“The explosives had been placed on the side of the driver’s seat,” the unnamed woman said, adding that the car had been moving at the time of the blast.
Shrapnel from the explosion hit several other vehicles but no one was injured, the witness added.
In October, Ukraine claimed responsibility for a car bomb attack that killed an official at the Russian-occupied Zaporizhzhia nuclear power plant. In April, a car bomb in Russian-controlled territory in Ukraine’s eastern Lugansk region killed a Moscow-appointed government official.
Wednesday’s blast in Crimea came as Russia targeted Ukraine’s capital Kyiv with a salvo of dozens of missiles and drones, many of which the Ukrainian military said were it had downed. It also came as the U.S. and South Korea said North Korean soldiers had joined in active combat alongside Russian troops trying to repel Ukraine’s months-old incursion into the far western Russian region of Kursk.
A U.S. State Department spokesperson said Tuesday that “most” of the roughly 10,000 North Korean soldiers sent to Russia had been deployed in Kursk and “begun engaging in combat operations with Russian forces.”
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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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Inflation is on the rise again. That was the big economic news on Wednesday when the Bureau of Labor Statistics released its latest inflation reading. The October inflation rate moved to 2.6%, up from 2.4% in September, and is now more than half a percentage point above the Federal Reserve’s target 2% goal. While not a step in the right direction, it’s too soon to tell if the rise was an indicator of additional economic pain ahead or a temporary issue to be resolved in the months to come.
That noted, a rise in inflation may give borrowers pause, particularly if they’re considering borrowing from their home equity with a home equity loan or home equity line of credit (HELOC). While they operate in similar ways, these products don’t function identically. As such, it’s worth considering which of the two may be better with inflation rising again. Below, we’ll break down what to know.
Start by seeing what home equity loan rate you could qualify for here.
Is a HELOC or home equity loan better with inflation rising?
Everyone’s financial situation is different so it’s difficult to say which of these two options are “better” right now with inflation ticking up again. That said, there’s a compelling case to be made for home equity loans in this specific climate. Here’s why:
Home equity loans have lower interest rates
If you’re looking for the very cheapest home equity borrowing option now, home equity loans are the way to go. While close to what HELOC rates are, they’re still less expensive, averaging 8.41% now versus the 8.61% HELOCs come with. While that may not appear to be a major difference on paper, it can result in significant savings over the term of the loan, particularly considering the common repayment period lengths of 10 and 15 years. So, first, calculate the difference to determine which is more affordable for your situation. And don’t forget the different interest rate structures each product comes with.
Learn more about your home equity loan options here.
HELOC rates are variable and subject to rise again
As mentioned above, it’s premature to make any major proclamations about the future of inflation. It could fall again. If it doesn’t, however, HELOCs could become problematic. That’s because these products have variable interest rates that change monthly.
That’s a unique advantage when inflation – and interest rates – are cooling, as they’ve been this fall. But it’s a unique disadvantage when the opposite occurs, as may be likely in the weeks ahead. So, not only are home equity loan rates lower but they’re fixed, meaning that the lower rate you lock in now won’t adjust should inflation continue to rise. And that’s something that can’t be said for HELOCs.
You’ll have peace of mind
Sure, inflation could continue to drop this month and in the months ahead, making concerns over the latest reading vanish. But it could also rise again and cause interest rate adjustments. No one knows right now and that can be stressful for those borrowers with products that have variable interest rates.
By opening a fixed-rate home equity loan, however, you can take the stress of the equation and have peace of mind knowing exactly what your rate and your payment will be each month. And, if interest rates fall so dramatically in the future that it’s worth taking action, you could always refinance your home equity loan to the prevailing lower interest rate at that point.
The bottom line
The decision between a home equity loan and a HELOC is a personal one, especially now as inflation is rising again. That said, there’s a compelling argument to be made for opening a home equity loan. But you must weigh all of your options closely, particularly for home equity products that utilize your home as collateral. By carefully considering your options (and calculating your costs) you’ll better position yourself for financial success, both now and over the full repayment period.