Tue, Jun 30, 2015
A A A
Welcome preal121
RSS

Commodities Briefing - Category | Bullion/Gold more

Gold price set to rise to US$1,300 by year-end

Posted on 16 June 2015 by VRS  |  Email |Print

The price of gold is expected to rise to US$1,300 per ounce by year-end from the current US$1,170, says manager of GFMS Precious Metals Demand Asia, Cameron Alexander. He said the price had been range-bound for sometime now and would see a downside in the short time, ranging between US$1,125-US$1,130 per ounce.
“But towards the second half of the year, there is a possibility of the price moving higher,” he said. Alexander said the price upside for the yellow metal would be driven by debate over Greece’s debt position and political turmoil in Eastern Europe………………………………………..Full Article: Source

The future of Greece and gold

Posted on 16 June 2015 by VRS  |  Email |Print

What are the possible scenarios for Greece and what do they imply for the gold market? The base-case scenario is that a bailout deal will be reached in coming days since no one wants the Grexit. Without the agreement, Greece would lose access to its external funding (like current bailouts funds, Eurozone’s crisis fund, IMF’s support or ECB’s Emergency Liquidity Assistance), whilst creditors risk Greece’s default, financial contagion and the loss of the euro’s prestige.
However, both sides took tough positions, since Syriza does not want to disappoint its voters and does not believe in austerity policy, especially during recession, while creditors believe that the Eurozone is immune to possible Grexit………………………………………..Full Article: Source

Platinum Prices Hit Six-Year Low

Posted on 16 June 2015 by VRS  |  Email |Print

Platinum prices fell to a six-year low on Monday on concerns over growing supplies of the precious metal. Platinum for July delivery, the most actively traded contract, closed down 0.8% at $1,088.60 a troy ounce on the Comex division of the New York Mercantile Exchange, the lowest settlement since March 18, 2009.
Investors are worried about platinum stockpiles, which are growing as miners in South Africa ramp up output following a five-month strike in 2014. South Africa is the world’s largest producer of the metal, and Barclays estimated platinum production from the country is on track to hit a five-year high in 2016………………………………………..Full Article: Source

Money-making opportunities in gold

Posted on 16 June 2015 by VRS  |  Email |Print

Gold prices have been weak for many weeks now. But if you are an Indian investor, there are still a couple of money-making opportunities in bullion. One, gold ETFs in India are now trading at a discount to their NAVs, on the stock exchanges. Market prices have dropped as there is not much demand for paper gold from investors.
Gold BeES (Goldman Sach’s gold ETF), the largest gold fund in India, trades at a price of Rs2,448/unit. This is at a discount of 2 per cent to the NAV of Rs2,492.63. Similarly, UTI’s Gold ETF trades at a 2.8 per cent discount to NAV. Gold prices in India swung into discount to global prices in May following a drop in demand, and are still at a $3-4/ounce discount………………………………………..Full Article: Source

Gold prices to grow at realistic pace

Posted on 15 June 2015 by VRS  |  Email |Print

Once all the technical reasons have been set off, gold prices would reach the minimum level and from there it will start looking up once again at a more realistic pace than the present speculation driven levels, said Babu John, chairman and managing director of Sky Jewellery in an interview to Times of Oman. He was in Oman to celebrate the store’s tenth anniversary.
You have achieved a major milestone in Oman, how has the journey been? When I started in the year 2005, my first Oman operations in Muscat, it was a standalone showroom little away from the conventional gold souq. It had its own teething problems but clean strategies, extraordinary commitments of my staff helped us overcome all constraints………………………………………..Full Article: Source

Gold Is Down But Not Out

Posted on 15 June 2015 by VRS  |  Email |Print

Gold had a range of $10 on Friday, closing down slightly in the middle of that range at a bid of $1,181.30. Silver has been acting weaker than gold the last 30 days, 6.34% lower while gold is down 2.78%. Over the past year, silver is down 18.28% while gold is lower by 7.21%. This is not what investors in gold and silver want to see.
Meanwhile, over the past year, the dollar is up 17.75%. If you think about it, lovers of gold, your dollars should have bought you 17.75% more today versus a year ago. Conversely, if you bought gold a year ago, you are down 7.21% on that investment. But all is not negative, because your purchasing power went up because gold is priced in dollars………………………………………..Full Article: Source

South African mining unions going for gold

Posted on 15 June 2015 by VRS  |  Email |Print

From June 22, all eyes will be on South Africa’s gold mining sector as wage negotiations kick off. It is no secret that the whole mining industry has endured a rough couple of years, and more so in the gold sphere, where deposits are becoming increasingly scarce and expensive to discover as companies are having to dig deeper to find gold.
On top of that, the gold price has fallen a long way from it’s a peak of $1,900 an ounce in 2011, nowadays hovering around $1,200 per ounce, and has resulted in many mines having to either be closed or sold off, as companies try to stay afloat. In South Africa, those problems are magnified by rising input costs, with fuel, intermittent electricity, and now wages, set to become more expensive………………………………………..Full Article: Source

Crude to trade in $55-75/bbl range, gold to slip: ANZ

Posted on 12 June 2015 by VRS  |  Email |Print

The crude oil market is at an interesting juncture at the moment. The prices around where we are now USD 65-70 per bbl is the market cannot find equilibrium there. We are expecting the market would trade somewhere between USD 55 per bbl and USD 75 per bbl probably for the next 12 months.
Gold prices will drift lower, probably over the next four months. Gold has been stubbornly range bound for probably the past three-six months just trading between that 1,170 up to 1,220-1,230 area. We had a pretty good attempt at a lower break after the non-farm payrolls on Friday where we touched 1,165 on the lows. But the markets really traded back up………………………………………..Full Article: Source

Gold: The US sets the price but Asia does the buying

Posted on 12 June 2015 by VRS  |  Email |Print

It seems illogical that gold price movement seems to be dominated by US internal factors while most gold trade is elsewhere. What’s driving the gold price? At the moment it seems to be a succession of knee-jerk reactions to U.S financial data which push the gold price up or down, depending on the perception as to whether the data will likely bring the US Fed’s proposed interest rate rise programme forward or move it backwards.
It really isn’t a logical situation – but where’s the logic in the precious metals markets anyway? To many, gold is a relatively underutilised metal which works well as jewellery, but nowadays has little else going for it apart from a long history of monetary usage which nowadays may have had its time. Bankers and economists discount its usefulness as such………………………………………..Full Article: Source

Gold price back in negative territory, ETF outflows continue

Posted on 12 June 2015 by VRS  |  Email |Print

Gold nudged lower on Thursday morning, with a stronger dollar ruling out a fourth day of consecutive gains – so far. The spot gold price of $1,180.50/1,181.30 per ounce was down $4.80 on Wednesday’s close – it has been confined to an intraday range of $8.
“The brief rally on precious metals over the last few days seems to have fizzled out now,” Marex Spectron’s David Govett said. “The move was down to two factors, an overly short market and a weaker dollar.” After hitting its lowest since May 18 on Wednesday, the dollar has recovered to 1.1251 against the euro this morning, with the dollar index up nearly 0.6 percent at 95.18. ……………………………………….Full Article: Source

Assets in world’s largest gold fund slump 48% to lowest level since financial crisis

Posted on 12 June 2015 by VRS  |  Email |Print

Assets in the world’s biggest exchange-traded product backed by gold slumped to the lowest since the start of the financial crisis as equities rallied and investors prepared for higher U.S. interest rates.
Holdings in the SPDR Gold Trust dropped 0.2% to 704.22 metric tons on Wednesday, the lowest since September 2008. That’s the month that Lehman Brothers Holdings Inc. collapsed, spurring a rout across global markets. Since peaking in December 2012, assets have contracted 48%………………………………………..Full Article: Source

Gold price: Reasons not to fear the Fed

Posted on 11 June 2015 by VRS  |  Email |Print

A number of gold market analysts have argued that the central factor influencing the price of gold is US interest rates. Some analysts go so far as to say that the inverted correlation is so strong that the gold price can be used as a predictor of interest rates, particularly after adjusting for inflation.
What has now almost become a rule of thumb is that rising real interest rates raises the opportunity costs of holding gold because the metal provides no yield and therefore the price should decline. Higher rates also boost the value of the dollar which usually move in the opposite direction of the gold price………………………………………..Full Article: Source

Gold Prices Hit ‘Channel Top’ at $1187 as Pimco Dumps Treasuries

Posted on 11 June 2015 by VRS  |  Email |Print

Gold prices gained almost 1.4% against a weakening US Dollar in London on Wednesday, but held flat for Euro investors as the Greek crisis entered its “final push” and government bonds sold off again worldwide.
Western stock markets rose over 1%, but Shanghai’s stock market closed the day slightly lower after global equities-index provider MSCI last night delayed adding mainland Chinese stocks to its emerging-markets benchmark, citing “a few important remaining issues” for the push-back to 2016’s review. Greek officials said they didn’t know Eurozone lenders had rejected Athens’ latest reform proposals until a press conference in Brussels today, reporting that they’d been told to re-work the plan………………………………………..Full Article: Source

Gold marks highest settlement in over a week

Posted on 11 June 2015 by VRS  |  Email |Print

Gold futures finished higher for a third session in a row on Wednesday, marking a more than one-week settlement high as investors look toward upcoming U.S. economic data for clues on the timing of the Federal Reserve’s interest-rate hike.
Gold for August delivery on Comex rose $9, or 0.8%, to settle at $1,186.60 an ounce. That was the highest settlement for a most-active contract since June 2. July silver ended at $15.959 an ounce, little changed from a day earlier………………………………………..Full Article: Source

More banks to join gold price benchmark in ‘coming weeks’ – IBA

Posted on 10 June 2015 by VRS  |  Email |Print

More banks will join ICE’s new gold price benchmark in the coming weeks, Finbarr Hutcheson, president of ICE subsidiary ICE Benchmark Administration (IBA), said. JP Morgan Chase Bank, Scotiabank, HSBC, Société Générale, UBS, Barclays and Goldman Sachs already participate in the LBMA Gold Price, which formally replaced the near-century-old London Gold Fix on March 20.
“We’re expanding that number very soon,” Hutcheson said at the International Derivatives Expo here on Tuesday. Last month, three more banks were apparently waiting in the wings to join the benchmark, which would bring the total number of participants to 10………………………………………..Full Article: Source

Gold Prices Rise as Investors Seem Nervous

Posted on 10 June 2015 by VRS  |  Email |Print

Gold prices rose on Tuesday, as investors sought out the safe-haven metal while European stock markets slipped. Gold for August delivery, the most actively traded contract, was recently up 0.5% at $1,179.40 a troy ounce on the Comex division of the New York Mercantile Exchange.
A tumble in Germany’s DAX index led European stocks lower, as uncertainty over Greece and the timing of a U.S. interest-rate increase made investors nervous. The volatility helped boost prices for gold, an asset some investors buy during periods of uncertainty in the belief that it will perform well during turbulent times………………………………………..Full Article: Source

Gold Price Breakdown Forecast Downtrend to $1000

Posted on 10 June 2015 by VRS  |  Email |Print

Although the longer-term bullish case for gold could scarcely be stronger, over the short to medium-term the picture continues weak, with it looking vulnerable to breaking down into another downleg to the $1000 area and perhaps lower.
In the last update you may recall that there was some optimism expressed that it might perk up on the dollar topping out, but such has not proved to be the case - instead it has performed miserably and now looks set to drop more steeply to new lows. On its 8-year chart we can see that gold remains in the grip of the bearmarket in force from its bullmarket highs of 2011………………………………………..Full Article: Source

Is Silver the New Gold?

Posted on 10 June 2015 by VRS  |  Email |Print

For hundreds of years, even after the abolishment of the gold standard, gold has played a vital role in the global economy. Gold has represented stability, and even though it does not pay interest or dividends. Not only does it provide a perceived safe haven for investments, but also gains from the price of gold over the past 20 years have been rather appealing.
The price of gold has almost doubled from $589 to $1176 per ounce, and an investment of $10,000 in February 1995 would result in $20,000 in value at present. Thus investors may question whether it is possible to find a substitute for gold, an asset that provides a hedge against inflation, and with a negative correlation to a traditional portfolio, whilst remaining an asset, preserving its purchasing power………………………………………..Full Article: Source

Gold to hit US$1,400 an ounce by end of 2015

Posted on 09 June 2015 by VRS  |  Email |Print

The price of gold should be boosted by official purchases from central banks and is expected to hit US1,400 an ounce by the end of this year. This is according to a note out today from Capital Economics, in which its commodities economist Simona Gambarini wrote: “We expect official purchases to be one of several factors that boost gold prices in the next year or two, despite the prospect of tighter US monetary policy and renewed strength in the dollar against other major currencies.”
Among the bullish signs she noted included the following: Most developing countries still hold less than 10% of their reserves in gold, compared to 70% or more in advanced economies………………………………………..Full Article: Source

Gold Isn’t Cheap, Nor Should It Be

Posted on 09 June 2015 by VRS  |  Email |Print

Although it is not possible to determine an objective value for gold (the value of everything is subjective), by looking at how the metal has performed relative to other things throughout history it is possible to arrive at some reasonable conclusions as to whether gold is currently expensive, cheap, or ‘in the ballpark’.
In particular, gold’s market price can be measured relative to the prices of other commodities, the stock market, the price of an average house, the earnings of an average worker, and the real (purchasing-power-adjusted) money supply………………………………………..Full Article: Source

The gold price shorts are back in town

Posted on 09 June 2015 by VRS  |  Email |Print

After a dismal week capped by Friday’s stronger than expected US jobs report that sent the gold price towards its 2015-lows, the metal took a breather on Monday. On the Comex division of the New York Mercantile Exchange, gold futures for August delivery – the most active contract – inched up $3.30 to $1,171 an ounce from Friday’s close.
Speculators on the futures market positioned themselves for last week’s weakness with large investors such as hedge funds, referred to as “managed money”, building up short positions in the week to June 2 according to the Commodity Futures Trading Commission’s weekly Commitment of Traders data………………………………………..Full Article: Source

Gold And Silver Price: Too Many Are Still Getting It Wrong

Posted on 09 June 2015 by VRS  |  Email |Print

Americans labor under the misguided belief that they have freedom, and by extension, freedom of choice. This simply is not true. Corporations are dictating more and more how Americans live, what to think, what to eat, and more. Google is a perfect example of what was once a superior search engine-turned-government-tool-for-propaganda.
Searches have been sanitized to provide only that information the corporate federal government wants you to know, and no more. It used to be the will of one in this country was protected against the majority. You can no longer find any references to this line of thinking when one Googles “rights for the will of one.”……………………………………….Full Article: Source

Fundamental factors to the fore for PGMs – Citi

Posted on 09 June 2015 by VRS  |  Email |Print

The differing market fundamentals of platinum and palladium are more important to its direction that their relationship to the dollar, Citi said. The bank would favour going long on palladium and short on platinum over the next six months, it said in a weekly report. Platinum recently traded at $1,097/1,102 per ounce, up $5 on Friday’s close, while palladium was $2 higher at $749/755.
Reduced expectations for a deficit in platinum this year are weighing on the metal, it said. It sees a rebound in mine supply of close to 20 percent in volumes this year, limiting its projection of a 2015 market deficit to 327,000 ounces – a level easily filled by above-ground stocks………………………………………..Full Article: Source

OPEC not losing market control to US shale oil: Analysts

Posted on 08 June 2015 by VRS  |  Email |Print

Oil industry analysts say despite fears among member states of the Organization of the Petroleum Exporting Countries (OPEC) about losing market control, the organization is still the dominant player in global oil market. During its latest ministerial meeting in the Austrian capital, Vienna, OPEC decided to keep its output unchanged, with observers believing that the decision reflects fears inside OPEC about the growing influence of booming US shale oil industry, AFP reported.
“OPEC members continue to play a key role in the current conditions of the oil market,” said senior energy analyst, Myrto Sokou, at the Sucden brokerage in London………………………………………..Full Article: Source

Is Gold Finally Scraping Bottom?

Posted on 08 June 2015 by VRS  |  Email |Print

The main reason for gold to rally will be investment demand and not demand for jewelry. Not since 2012 have we seen inflows in gold ETFs, a sign that a bottom in gold might be forming. If investment demand for gold follows through the next several months, both gold and gold stocks will likely rally.
I have been a bear on gold and gold stocks for a long time now. In fact very close to gold’s top. Most people think that the spot price of gold is a function of jewelry demand. As such, they look at what the demand from India and China is, thinking this will provide them with insight for gold demand. I have new for you folks, the determining factor that drives gold’s price is not jewelry demand, but investment demand………………………………………..Full Article: Source

Radical Gold Underinvestment

Posted on 08 June 2015 by VRS  |  Email |Print

Gold remains deeply out of favor thanks to global central banks’ extreme money printing. This fueled a global stock-market levitation that has temporarily short-circuited normal market cycles, leaving investors infatuated with stocks to the exclusion of prudent portfolio diversification.
This has left them radically underinvested in gold, which sets the stage for massive mean-reversion buying when they inevitably return. Portfolio diversification is an absolutely essential tool for investment risk management. This simple and powerful wisdom is ancient, as a three-millennia-old quote from the Israeli king Solomon reveals………………………………………..Full Article: Source

Will Fear Drive Gold Prices Higher in June?

Posted on 08 June 2015 by VRS  |  Email |Print

As of this writing, gold for August 2015 delivery is up nearly 0.6%. This is after gold closed the month of May with a 0.4% gain. The media are throwing around different theories about where it is heading next. Many catalysts are tugging on each other and could move gold in either direction over the next month. The strengthening of the dollar certainly has served as a headwind against gold prices.
A stronger dollar means it has become more expensive for foreign investors to consume and invest in dollar-denominated items, including gold. A most notable example is China and India, which accounts for 54% of global gold demand, according to data in World Gold Council records cited by Market Realist. The high dollar relative to their currencies has dampened their enthusiasm for gold investments………………………………………..Full Article: Source

Will the new gold monetisation scheme glitter?

Posted on 08 June 2015 by VRS  |  Email |Print

The crux of the matter is that gold, which the scheme hopes to draw in, is not often stored as bars or coins — forms that lend themselves easily to be valued as a financial instrument. In India, gold is held by households in the form of jewellery.
The Finance Minister had spoken about it in the budget. The Finance Ministry published draft guidelines during the third week of May of a new gold monetisation scheme, which it proposes to implement after incorporating feedback from different sections. The idea to monetise gold is by no means new. In fact, various schemes to tap the gold hoard already exist. Though launched with a lot of fanfare, they have garnered very little subscription………………………………………..Full Article: Source

The next great bull market: Gold $25,000

Posted on 05 June 2015 by VRS  |  Email |Print

Suppose someone approached you in the year 2000, when the price of gold was around $250 an ounce and suggested that it would be worth almost eight times its current value within the next decade. I am sure most people would have thought that person to be less than credible making such an outrageous market call. Think about it.
An asset being expected to multiply by eightfold within a decade? But as we all know now, gold went from $250 an ounce to just over $1,900 an ounce in just that amount of time. What if I was to tell you that gold could make another such run over the next decade plus? Does it seem that outrageous now? Well, I think the math shows it can and will, with the price of gold futures surpassing $25,000, and more specifically for this column, the price on the Gold Bug Index HUI, -1.35% eclipsing 15,000. But let’s take a look back before we go forward………………………………………..Full Article: Source

Gold’s Peak Doesn’t Mean New Price Heights

Posted on 05 June 2015 by VRS  |  Email |Print

Announcing that gold production is approaching its limits can be hazardous. In 2009 Aaron Regent, who shortly after became chief executive of Barrick Gold, said the world had reached “peak gold.” Three years later, Mr. Regent was out of a job and mined gold output was still rising. Indeed, it hit a record 3,133 metric tons last year.
Yet predictions of peak gold are again in vogue. It remains doubtful, however, that this heralds much elevation for the gold price. Gold production may be plateauing: precious metals consultancy Metals Focus expects a slight fall in output this year. A decadelong rise in the gold price from 2001 fueled indiscriminate investment but miners have slashed spending since 2013. Substantial new mines, like Barrick’s Pascua Lama in Chile, have been halted and exploration efforts scaled back………………………………………..Full Article: Source

Gold Prices Sink to Five-Week Low

Posted on 05 June 2015 by VRS  |  Email |Print

Gold prices sank to a five-week low Thursday, after the International Monetary Fund slashed its forecast for U.S. growth and warned that inflation remains elusive. Gold for August delivery, the most actively traded contract, closed down 0.8% at $1,175.20 a troy ounce on the Comex division of the New York Mercantile Exchange, its lowest price since May 1.
The International Monetary Fund on Thursday lowered its forecast for U.S. economic expansion, while urging the Federal Reserve to hold off from raising rates because prospects for inflation remained uncertain. A continued slump in consumer prices spells bad news for gold, an asset some investors buy because they believe it will hold its value during inflationary times………………………………………..Full Article: Source

Gold wilts on upbeat US data

Posted on 05 June 2015 by VRS  |  Email |Print

Gold eased on Thursday after robust economic data fuelled speculation a US rate hike may come sooner rather than later and on cautious hopes for a resolution to the Greek debt crisis, though the euro’s surge underpinned prices.
Traders are now focusing their attention on Friday’s US non-farm payrolls data, a key barometer of the world’s largest economy, for clues on the next direction of gold. Spot gold was down 0.2 percent at $1,183.00 an ounce at 09h32 GMT, while US gold futures for June delivery were down $2.20 an ounce at $1,182.70………………………………………..Full Article: Source

Gold mining contributed $171 bln to global economy in 2013 – WGC

Posted on 04 June 2015 by VRS  |  Email |Print

The gold mining industry contributed more than $171 billion to the global economy in 2013, according to a new report from the World Gold Council. But weaker prices and lower production in 2015 do not necessarily mean that this figure will drop, the WGC’s John Mulligan said in an interview.
Large-scale commercial gold mining in the 47 countries that account for more than 90 percent of the world’s production contributed $81 billion to the economy in direct gross value added (GVA) and around $171 billion indirectly, the WGC said. GVA measures the contribution to the economy of each individual producer, industry or sector………………………………………..Full Article: Source

Gold price: ‘Waiting worse than reality’

Posted on 04 June 2015 by VRS  |  Email |Print

Mixed economic data out of the US, a weaker dollar, Greek bailout talks on a knife edge and renewed fighting in Eastern Ukraine couldn’t lift the gold price off near one-month lows on Tuesday. After briefly topping $1,300 an ounce in January gold is now back to its 2015 opening levels of around $1,180 an ounce and down 5% over the past 12 months.
Expectations of a rate hike in the US has been a major factor behind gold’s decline as gold and bond yields have a close negative correlation………………………………………..Full Article: Source

Economic value of gold mining fell 16% on 2013 price slide

Posted on 04 June 2015 by VRS  |  Email |Print

Gold mining’s economic value worldwide sank 16 percent in 2013 as prices tumbled by the most on record, according to an industry lobby for the precious metal. Gross value added, a gauge of the industry’s activity, was $83.1 billion in 2013, or $171.6 billion including the value of goods and services from outside businesses such as suppliers, the World Gold Council said in a report published Wednesday.
Gold mining’s economic contribution is up almost seven-fold since 2000 as output and the value of the metal climbed. Prices increased to a peak of $1,900 an ounce in 2011 from $272 an ounce at the end of 2000. Gold was $1,193 an ounce at 3:55 p.m. in Johannesburg on Tuesday. It dropped 28 percent in 2013………………………………………..Full Article: Source

All You Know About Gold’s Safe Haven Appeal Is Wrong - UBS

Posted on 04 June 2015 by VRS  |  Email |Print

In a note to clients today, UBS dissected the traditional market view on Gold’s safe haven appeal noticing a big change in the dynamics and correlations constituting this special status of the yellow metal.
“Gold has traditionally been considered a safe haven, an asset that investors turn to in times of uncertainty. Indeed, history has shown that gold is well-positioned to benefit in scenarios when risks are elevated. But the dynamics have clearly shifted over the last several years and gold’s reaction function to risk-off scenarios is no longer the same as it was in previous decades,” notes UBS………………………………………..Full Article: Source

Gold investing demand stabilizes with prices

Posted on 04 June 2015 by VRS  |  Email |Print

Since hitting five-year lows at Christmas, gold investing sentiment amongst Western households has now seen the strongest sustained upturn since summer 2013, writes Adrian Ash at BullionVault.
That’s according to our latest Gold Investor Index, which counts buyers against sellers on the world’s No.1 vaulted bullion platform online. It’s further shown on our public Daily Audit of client property by the additional 1 tonne of gold bought by BullionVault users since February. That’s the heaviest addition by weight since the winter of 2012-2013……………………………………….Full Article: Source

How to Make a Portfolio of Precious Metals

Posted on 04 June 2015 by VRS  |  Email |Print

Precious metals deserve a spot in any balanced portfolio. As a hedge against the possibility of rampant inflation or currency debasement, it’s hard to find a better asset class. If you’re looking to add precious metals to your portfolio, or build a portfolio based strictly on precious metals, you have many options to choose from. Let’s take a closer look at precious metals in general, and then how to add precious metal exposure to a portfolio.
Understanding precious metals: Precious metals are defined by their rarity and their tendency to be non-reactive, which makes them expensive and limits their industrial use. There are more than a dozen different precious metals in total, including mercury, beryllium, and indium. However, for investing purposes, there are really only three worth considering: gold, silver, and platinum………………………………………..Full Article: Source

Gold ETF holdings fall to six year low

Posted on 04 June 2015 by VRS  |  Email |Print

Holdings of gold-backed exchange-traded products have fallen to their lowest levels since 2009 despite rising market uncertainty over Greece’s debt payments. Holdings in ETFs tracked by Bloomberg were at 1,594.1 tonnes Tuesday, down from 1,598.3 tonnes at the beginning of the year, reports Henry Sanderson in London.
Gold rose above $1,200 a troy ounce last month but has failed to hold onto those gains, trading at $1,189.7 Wednesday………………………………………..Full Article: Source

Investors Cut Gold-Fund Holdings to Four-Month Low on Fed Bets

Posted on 03 June 2015 by VRS  |  Email |Print

Investors sold gold through bullion-backed funds, cutting holdings to a four-month low, on speculation that the Federal Reserve is getting closer to raising interest rates. Futures advanced in New York.
Assets in exchange-traded products backed by the metal dropped 2.4 metric tons to 1,599.5 tons as of Monday, according to data compiled by Bloomberg. Holdings slipped 4.8 percent since late February and are at the lowest since Jan. 14………………………………………..Full Article: Source

Gold price to remain rangebound in June, analyst says

Posted on 03 June 2015 by VRS  |  Email |Print

Gold prices will likely remain rangebound in June, in line with its recent spread, INTL FCStone analyst Edward Meir said in a monthly report yesterday. If the US Fed maintains a cautious stance towards an eventual rate hike at its June meeting, as is widely expected, it would generate little downside pressure, while ‘sloppy’ fundamentals are seen capping any big gains.
Coming off May, gold was evidently not strong enough to break above key resistance levels despite significant weakness in the dollar, indicating that the yellow metal will likely remain more resistant to currency movements until more clarity on Fed rates is presented………………………………………..Full Article: Source

Turkey Gold Imports Slide to 10-Month Low as Local Prices Surge

Posted on 03 June 2015 by VRS  |  Email |Print

Turkey’s highest gold price in more than three years is cutting appetite for the metal in the fourth-biggest buyer. The country imported 1.65 metric tons of bullion in May, 21 percent less than a month earlier and the least since July, the Istanbul Gold Exchange’s website showed on Tuesday. Turkish first-quarter consumer demand for bullion slid 42 percent from a year earlier, according to World Gold Council data.
Local prices rallied 21 percent in the past year as the lira weakened against the dollar. The currency’s slump is the second-biggest in emerging markets this year on concern government gridlock will prevent legislation needed to bolster the economy. Turkey will hold national elections on June 7 and polls suggest a coalition government will be elected………………………………………..Full Article: Source

The Gold Cartel And $3,500 Gold

Posted on 03 June 2015 by VRS  |  Email |Print

In a recent interview, Bill Murphy of the Gold Anti-Trust Action Committee (GATA) predicted that a tipping point is near that will end the Gold Cartel’s suppression of gold and silver prices, leading to $3,500 gold and $100 silver.
Greg Hunter of USA Watchdog.com interviewed Murphy, who has extensive hedge fund experience, including with Bridgewater, one of the largest hedge funds in the world. The US Justice Department recently granted UBS (NYSE:UBS) immunity in a criminal investigation of “manipulation of, or fraud in” the gold and silver markets………………………………………..Full Article: Source

Here’s What the Next Gold Bull Market Will Look Like

Posted on 03 June 2015 by VRS  |  Email |Print

We measured every bull cycle of gold stocks and found there have been eight distinct upcycles since 1975. We also discovered something exciting: Only one was less than a double. (A second was 99.9%.) Even more enticing is that the biggest one—a 601.5% advance in the early 2000s—occurred just after a prolonged bear market.
And our current bear market is longer than that one. To get a sense for the potential upside, we applied the percentage gain from each of those upcycles to our recommended BIG GOLD picks………………………………………..Full Article: Source

Gold Gains Allure as U.S. Economy Stumbles

Posted on 02 June 2015 by VRS  |  Email |Print

Some investors who aren’t sold on the strength of the U.S. economic recovery are taking a shine to gold. After shunning the precious metal for years in favor of bonds and stocks, which often pay a steady income, investors are returning to the gold market to safeguard their wealth.
Lofty valuations in stocks and bonds, which have rallied in recent years while gold prices slumped, also are prompting some investors to revisit gold amid fears of a downdraft in these markets. Some traders also are pointing to easy money policies in Europe, which have pushed deflation worries off the table, and to similar efforts by other global central banks that could ultimately reignite inflation………………………………..Full Article: Source

Here’s The Reason Gold Is Going Nowhere

Posted on 02 June 2015 by VRS  |  Email |Print

Another week passes and once again, the word best used to describe the price action in gold is, “YAWN”. As in boring; as in repetitive, as in comatose, as in going nowhere. “Gold is off to $2000″, we were confidently told. Yep – same claim as always, every single time gold has a big move higher with the same result… NADA… ZERO… ZILCH…
What a great racket – get people to pay you for making wild, outlandish, incorrect and thoroughly useless predictions and then blame it all on “price suppression by the feds” when the prediction falls flat on its face. Those doing this never have to acknowledge how bumbling and inept they are around the markets while they sucker in another round of victims from whom they can milk more money………………………………..Full Article: Source

China gold demand holding up well – new record ahead?

Posted on 02 June 2015 by VRS  |  Email |Print

We keep seeing reports in the mainstream media suggesting that Chinese gold demand is slipping away, but continuing strong gold withdrawal figures from the Shanghai Gold Exchange (SGE) seem to contradict these reports. While, as we have reported before, there are many doubts expressed as to whether SGE withdrawals are actually equivalent to Chinese consumer demand, there is no doubt that they do represent the underlying consumption situation.
Hong Kong-based Philip Klapwijk, the former executive chairman of GFMS prior to its acquisition by Thomson Reuters, did explain some of the discrepancies between the mainstream analysts’ Chinese consumption figures and SGE withdrawals (which differed last year by around 1,000 tonnes) as unrecorded cross border gold movement from mainland China into Hong Kong (technically illegal) in a presentation to the Bloomberg Precious Metals Forum a week ago ……………………………….Full Article: Source

Gold’s Two Fundamental Drivers and The Odds Of A Breakout

Posted on 02 June 2015 by VRS  |  Email |Print

For some reason, gold evokes more intense emotions for traders than any other financial instrument. Depending on who you talk to, gold is either the last real store of value amidst the final throes of the central bank driven fiat currency system…or a soft yellow rock with few industrial uses. Rather than dogmatically holding to either a permanently bullish or bearish outlook on any financial asset, we believe that traders that should keep an open mind and try to objectively analyze the fundamental drivers of gold.
Like any commodity, the price gold is determined by the interaction of supply and demand. While the supply of gold is relatively predictable in the short term, the demand for gold is rarely the conventional type of industrial demand that drives most commodities. Instead, gold demand is driven primarily by its attractiveness as an investment, which is in turn driven by real interest rates and the value of the US dollar………………………………..Full Article: Source

Chinese are going for gold — and so should our miners

Posted on 01 June 2015 by VRS  |  Email |Print

China is oversupplied with gold, according to one analysis — only the Chinese don’t seem to be in on this news. Otherwise why would they be in the process of setting up what will be the world’s largest fund in terms of physical gold held, eventually to grow to $US16 billion ($20.9bn) worth of the yellow metal? Or indeed why would they have entered big deals over the past week to get a foothold in Papua New Guinea and Siberian gold production?
And central banks are no longer so laid back about gold ­reserves. Who can forget the decision by the central banks of Britain, Australia, Switzerland (the Swiss off-loaded 1550 tonnes), The Netherlands, Portugal, Spain and France to sell from the late 1990s, and at the bottom of the market into the bargain?…………………………………Full Article: Source

Texas set to create a gold depository

Posted on 01 June 2015 by VRS  |  Email |Print

All that glittering gold doesn’t have to go to Fort Knox or the Federal Reserve in New York. Instead Texas will soon be able to keep their precious metals in a new bullion depository lawmakers approved today. The bill goes to to governor.Now, this isn’t a place to store Great Aunt Margaret’s earrings.
Public agencies, corporations or even individuals could store gold or precious metal there if it is in certain form — such as bullion or specie, which are generally gold or silver stamped. Rep. Giovanni Capriglione, R-Southlake, has worked for two years on the legislation that allows the comptroller’s office to create the depository, which would make Texas the first state in the nation to do so………………………………….Full Article: Source

banner
banner
June 2015
S M T W T F S
« May    
 123456
78910111213
14151617181920
21222324252627
282930