Global iGold: Oxi from Greece, Nai for gold

61.31% of Greek voters responded with a resounding “OXI” ('no' in Greek language), in the referendum of the last week, to the measures that the Troika wanted to implement in the country. How is the situation impacting the gold market? How can gold topple the economic plans for Greece? Find it out reading the news section of Global iGold!

The pandemonium many had predicted if Greece turned its back to the stratagem of the IMF, the European Central Bank, and the European Commission has not been as great as expected. The main answer from these institutions when the referendum was announced, was to choke off the financing of the country bringing about a “corralito” (bank freeze) with a maximum withdrawal of 60 euros per day.

Greece will remain at the table to negotiate a debt restructuring that Germany – the main creditor of the Hellenic country – is seeking to receive as soon as possible. The already former Greek Minister of Economy, Yanis Varoufakis, declared that Greece will always be willing to cooperate, but reaching an agreement that doesn't stifle the population.

Now the ball lies on the Troika's court which will or will not stop the “corralito”, reject or accept some of the proposals of the Greek government.

As for buying gold, the uncertainty of a final deal between both parties still plays in favor of the precious metal as it becomes the choice as safe-haven asset, but also negatively as euro is losing ground earned at the same time by the dollar, which owes its growth to higher expectations of an interest-rate hike this year.

For many investors, the “corralito” situation was one more example and reason for people to, besides holding their wealth in banks, have their own reserves and assets especially in a physical form, so at any moment they can be exchanged and protect their finances.

Global iGold is an international company which Online Gold Shop, Global InterGold, offers clients worldwide to buy gold bars of the best quality under the most profitable conditions. Clients all over the world can have the security in their finances they've always wanted.

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