Brexit - The U.K. Leaves and Gold Soars

The markets got it wrong. The bookies got it wrong.

With polls suggesting a close vote would go the way of remaining in the European Union (EU), stock markets posted healthy gains yesterday as the historic votes were being cast.

Today, everything changed. With the Leave campaign referendum victory overnight, and with Prime Minister Cameron’s announcement to step down to make way for new leadership, doubt and uncertainty has gripped worldwide markets. With uncertainty comes volatility. With volatility comes a flight to safe haven assets.

Gold and silver are two such safe havens.

As New York trading opened this morning, gold was already up over 5%, and silver was up over 4% from yesterday’s close. Gold has traded as high as $1,330 per ounce, and silver was on the verge of taking out upward resistance at $18 per ounce. Gold has already easily breached its upward resistance at $1,305 per ounce.

Now, in our opinion, this was going to happen anyway. The Brexit results simply accelerated the inevitable.

The question is, with resistance in the rear view mirror, how fast and how far do these precious metals move now? The potential to run higher is about equal to the potential to settle a bit lower from where we are now.

There’s an old saying in Britain – Keep calm and carry on.

We agree. This is no time to panic. But, we do think it is a good time to buy some gold and silver. And, we have attractive pricing in gold and silver American Eagles and $20 Saint-Gaudens gold pieces for you to consider here… post-Brexit.

Right now, 1-ounce gold American Eagles are Spot + 4.5%* and 1-ounce silver American Eagles are Spot + $2.55*. Free shipping, handling and insurance on orders of 10 ounces or more of gold and 300 ounces or more of silver. For orders of 9 ounces or less, there is a $25 charge for shipping, handling and insurance.

Also, MS64 $20 Saint-Gaudens gold pieces are available for $1,599 per coin* with free shipping, handling and insurance.

Call us at 800-831-0007 to place an order!

 
*Prices are subject to change due to market fluctuation and product availability. Offer expires June 24, 2016. Minimum 100 ounce purchase for silver American Eagles. Free shipping for orders of 10 ounces or more of gold and 300 ounces or more of silver.