The signs of the zodiac have something of their own creation myth. Depending on who tells it to you, it begins with either Buddha himself or the Jade Emperor assembling a meeting of all the great animals.
The Mouse, a nimble and cunning little creature, was one of the quickest to arrive, being given the honour of being the first sign of the zodiac. In comparison, the Pig was slothful and lazy, falling asleep along the way, arriving late. Unsurprisingly, the Pig was given the honour as the 12th and final sign of the zodiac.
As the price of gold seemingly enters into a Pig-like slumber at the tail end of 2019, 2020 could prove to be a year for more cunning investments, as the Year of the Mouse returns once again with the latest offerings of New Year Gold.
Fortune favours the Mouse
2019 has been a year of highs and lows for the gold markets. It got off to a slow start, with prices staying range-bound for much of the first half, in anticipation of the UK’s original expected EU withdrawal date in March 2019. However, that simply wasn’t to be.
Brexit was delayed, political uncertainty soared and a change in government led to gold prices soaring to an all-time high of £1,275 per troy ounce, back in September. As summer turned to autumn, investors began to await signs of a resolution to the Brexit saga, with gold selling off by almost 15 per cent in just three months.
Prices are now closer to £1,124, but prices remain over 10 per cent higher than they were at the end of 2018, indicating how resilient the recent bull run has proved to be.
Just as the Mouse was able to show great speed and cunning in the old fable, the Year of the Mouse could be just the year for investors to buy gold and find a suitable opportunity to lock in some great gains, as we head into the new decade. Mouse and Rat are both acceptable translations of the Lunar character and some mints and manufacturers have produced Year of The Rat gold bars and coins whilst others have produced Year of The Mouse gold designs.
Not out of the woods yet
This month’s election resulted in a victory for the Conservatives, with an 80-seat-strong majority, the largest the party has won since the height of the Thatcher era in 1987. However, great political gains don’t necessarily translate into strong and stable markets.
Thatcher’s third victory in 1987 was followed by a jaw-dropping stock market crash, colloquially known as Black Monday, where stocks crashed over 20 per cent in a matter of hours. In the meantime, gold held its nerve, saving investors from losing out.
Labour’s third successive election victory in 2005 wasn’t a guarantee of market stability either. Within just three years, the global economy was on the verge of the worst downturn since the Great Depression. It just goes to show that a strong government can’t always stop economic shocks from happening, no matter how solid a government’s majority may be.
With this in mind, Brexit is still a recurring feature in many investors’ minds. Although the likelihood of the UK leaving the EU at the end of January 2020 has increased dramatically, this initial departure deadline is just the first step of a process that will see the UK engaged in months of trade negotiations.
As the deadline runs out, another clock starts ticking, towards December 2020, and the end of the UK’s transition period.
The 2020s - choose your portfolio carefully
For many, the 2010s were even more of a rollercoaster for some investors than the 2000s. The 2020s look set to be even more of a rollercoaster. As mentioned, Brexit will linger, despite seemingly having been resolved already. Add to this the stress of an ongoing trade war between the US and China, and gold prices could easily break to new highs.
The new decade, the 2020s, will be full of investment opportunities you can’t afford to miss. Gold could be one of those opportunities. Like the Mouse, you will need to show great wit and avoid the crowded trades. That’s why the Gold Bullion Company is pleased to reveal its Year of the Mouse gold coins.
The 2020 Year of the Mouse gold 1oz coin is a worthy investment for any investor who might be hoping for some of that much-needed optimism and energy to rub off on them next year. Priced at £1,181.83 per troy ounce, each coin is made of 999.9 fine gold bullion. Get your very own coin today - the next Year of the Mouse won’t be until 2032!
Gold as the ultimate safe haven in 2020
As we enter the 2020s, there will be a need for clarity - think of gold as a form of 2020 vision. Gold has a knack for signalling major shifts in market sentiment. Remember how gold bottomed out in 1999, mere months before the Dot Com bust in March 2000.
Gold entered a new price rally in early 2016, in anticipation of the EU referendum, triggering a new bull-run phase that could continue to have legs well into the 2020s. The yellow metal has a curious habit of making investors ask the question: “What does gold know that we don’t?” - it always makes sense to be ahead of the curve, so why not consider investing in gold today?
Not only do we specialise in Lunar gold coins - the Gold Bullion company offers other tangible assets including Tax-Free Gold, free from VAT and Capital Gains Tax, as well as offering a range of gold bullion bars, both large and small.
They make ideal investments, whether you wish to put aside a fraction of your portfolio into something more diverse, or wish to make some impressive gains over the long-term with some more substantial holdings.
For more information about investing in Year of The Mouse gold with the Gold Bullion Company, contact us here.
We look forward to helping with any enquiries you may have.