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Dell led tech sector stocks lower with its rather disappointing earnings report. Dell earnings were down 54% and that sent shockwaves through the tech sector. CNET reports on the issues that are related to Dell’s earnings:

“We saw some weakness in orders in some of the weeks preceding Windows 7… our inventories were in place and people were waiting to see how the launch went,” he said on a conference call with reporters Thursday. “After the (October 22) launch we saw a surge in orders. We believe that affected our October revenue a bit, but we’ll ship that through in the fourth quarter.”

Gladden did try to point out more positive signs for the company during the quarter, noting, “We significantly improved over the 23 percent (quarterly revenue) decline from earlier this year.”

The tech sector, as a result, is bringing down the entire stock market. The Nasdaq, as might be expected, is being pounded the most. The Dow and the S&P 500 are both lower as well, led by the tech sector.

Another issue afflicting the stock market is the fact that investors are concerned about the speed of economic recovery. For some, it isn’t happening as fast as hoped. And part of the reason for the pullback is due to the fact that investors are starting to think that maybe they were a bit precipitate in sending the stock market so much higher recently. For now, investors are turning to safer investments, like bonds and the U.S. dollar — both of which are backed by the world’s most stable taxpayer base.

Disclaimer: I am not an investment professional. Nothing in this piece or on this Web site should be construed as investment advice. Before making investment decisions, do your own research and/or consult with an investment professional. All investment comes with the risk of loss. You are responsible for your own investment decisions and any loss that may result from your decisions.

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Gold can’t be stopped — for now. The precious metal just surged to another high of $1,133 before falling back to $1,132. Gold bugs are celebrating as investors buy gold on the assumption that economic recovery is underway, and might bring with it inflation. Equities are markedly higher as well, banking on economic recovery optimism. Stock markets in Asia and Europe were higher today, and the U.S. market opened with a rallying cry. The bulls are charging, and that is helping commodities like gold.

And, of course, the fact that an economic recovery can’t negate difficult underlying fundamentals (like massive amounts of U.S. government debt) have investors quite nervous about the U.S. dollar, which is tanking spectacularly today against every major currency. Including the yen.

Oil is also up today, since it often moves in tandem with gold (and opposite the U.S. dollar). There are hopes that economic recovery will increase demand for commodities, and that is sending the speculators hurrying to buy.

Investing in precious metals

Investing in precious metals has become much easier in recent years. Index funds, ETFs and other instruments make it possible for nearly anyone to diversify his or her portfolio with precious metals, like gold and silver.

But is it really a good idea to go for gold right now? There are some that believe that all this gold craziness is a bubble, and that it can’t go much higher. Even if it does, the argument goes, gold will have to crash sometime. And when it does, it is most often the consumers who got in at the end who suffer. The biggest gainers are those who invested more than five months ago. Indeed, if you are looking to get rich fast, you better get in, clock some gains, and get out. Fast. And even that is a risky move. Who knows how long this frenzy will last?

Disclaimer: I am not an investment professional. Nothing in this piece or on this Web site should be construed as investment advice. Before making investment decisions, do your own research and/or consult with an investment professional. All investment comes with the risk of loss. You are responsible for your own investment decisions and any loss that may result from your decisions.

While many investors have their eyes full of gold, some investors are turning toward silver. It’s hard to ignore the fact that gold is still sitting above $1,100 an ounce. But some argue that gold is already near its high for now, and that, even if it goes higher, it might not provide the kind of returns that have been seen the last couple of months. Instead, say some investors, it is time for silver.

Indeed, silver often out performs gold as bulls in the stock market gain the upper hand. MarketWatch reports on silver as an investment:

Silver is a precious metal, after all, one that has historically outperformed gold in a bull market and doubles as an industrial metal — and supplies of it are depleting at a much more rapid pace.

“Silver is unique in terms of being both a monetary and an industrial metal,” the Bullion Services Team at GoldCore said in a recent report, pointing out that it’s severely undervalued. “Silver remains the investment opportunity of a lifetime.” …

“Silver is highly correlated to the safe haven of gold and is, in effect, a leveraged sister of the precious yellow metal,” according to GoldCore, an international bullion dealer. “Thus, informed investors use gold more for wealth preservation purposes and silver in order to make a return.”

It’s an interesting thought. With many investors turning toward precious metals as U.S. economic fundamentals erode (recent reports showed another increase in the trade deficit, investors look for more tangible investments, eschewing the dollar.

Even if you decide that investing directly in silver is not for you, there are ETFs and other instruments that make it relatively easy take advantage of rising silver prices — if they really do materialize.

Disclaimer: I am not an investment professional. Nothing in this piece or on this Web site should be construed as investment advice. Before making investment decisions, do your own research and/or consult with an investment professional. All investment comes with the risk of loss. You are responsible for your own investment decisions.