Explanations of "Gold" investment-related terms A to Z

Black Swan Event

A black swan event is a very surprising and rare event that is beyond the realm of normal expectations. Such an event is very hard to predict, since it is an outlier in the data series and nothing in the past points to the possibility of its occurrence. However, the event has an extreme impact. In other words, a black swan event is an unexpected event of large magnitude; the bankruptcy of Lehman Brothers in 2008 serves as a good example.

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Bond Prices

To live like a super-spy, you will need a lot of money! Aston Martin is not a cheap car, and drinking Vodka Martini also has its price. Of course we are not writing about the price of being a Bond, but about the bond prices. It's maybe a little less exciting, but it is probably closer and surely more lucrative for you.

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Bond Yields

Would like to hear the best joke in the world? “Bond yields can only go up from here!”. This is what many investors believed for years. But they were constantly wrong, as the chart below shows.

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Boris Johnson

Boris Johnson – pardon, Alexander Boris de Pfeffel Johnson – became the Prime Minister of the United Kingdom in July 2019, after Theresa May resigned.

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Breakdown

A breakdown is a sustained move below a support level. Breakdowns are usually associated with a bearish outlook and might be triggers for sizable moves to the downside. A key factor in the analysis of a breakdown is whether it has been confirmed or not.

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Breakout

A breakout is a sustained move above a resistance level. Breakouts are usually associated with a bullish outlook and might be triggers for sizable moves to the upside. A key factor in the analysis of a breakout is whether it has been confirmed or not.

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Bretton Woods Agreement

The Bretton Woods Agreement had important implications for the gold market. It emerged from an economic conference held in Bretton Woods, New Hampshire in the United States, during the first three weeks of July 1944.

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Brexit

With Britain leaving the EU how much space was created? Exactly 1GB.

On 23 June 2016, Britons voted in a nationwide referendum to leave the European Union. This decision, called a Brexit vote, led to short financial shock with a plunging pound and equities. However, the markets soon recovered, and the shock was not as bad as many had feared. Similarly, there was a knee-jerk reaction in gold, which boosted its price up to the $1,350 level immediately after the votes results were announced. As the chart below shows, the gold prices spiked in the U.S. dollar, in the Euro, and in the British pound.

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BRIC

BRIC is the acronym for Brazil, Russia, India, and China. The term was specifically coined to refer to these fast-growing emerging economies and by implication, their mutual benefits by forming alliances with each other. The growth of the BRIC countries has implications for the gold market.

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Brown Bottom

One of the HM Treasury’s worst financial mistakes ever made, and perhaps one of the least well-timed investment decisions in the history of mankind (we would say that the worst, but it’s really difficult to beat the government-owned German bank KfW Bankengruppe which sent $426 million to Lehman Brothers the day it went bankrupt).

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Building Permits

Have you just bought land to build a house on it? That’s great, you will need financing, the workers, the plans of construction and many other things. But first of all, you will have to apply for a building permit before you can start to build. Whatever your opinion – rigmarole or safety first – you’ll have to do that...

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Bullion

Bullion is the general name for pure gold or silver (at least 99.5%) which have been transformed into bars or minted into coins for investment purposes.

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