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Silver prices surge nearly 50%, but beware of the devil’s metal

Posted on 14 July 2016 by VRS  |  Email |Print

Silver prices have leapt nearly 50 percent so far this year, reversing three years of losses, but history shows investors hoping to hop aboard the bandwagon should be wary. A surge in gold and upbeat prices of industrial metals, along with prospects for yet more monetary stimulus from leading central banks, have prompted some heart-stopping moves.
“I’ve lost hair this year,” one silver trader said after the market shot up by almost a third in one month alone. “And about 20 pounds.” On the face of it, silver has a lot of appeal. It tends to track gold prices, but its low liquidity usually leads it to outperform the move in gold by around 1.5 times………………………………………..Full Article: Source

Watch gold prices to profit from silver

Posted on 13 July 2016 by VRS  |  Email |Print

Gold prices are up 25 percent in 2016 while the surge in silver has seen prices rally 46 percent this year. Early in 2016, the silver price behavior stopped leading the gold price behavior. Silver reverted to its previous behavior of following the gold behavior but it has remained a very profitable trade.
Silver has an upside target of $26.00. That’s 30 percent higher from the current price near $20.00. Gold has an upside target near $1580, which gives a 16 percent gain from the current price near $1360………………………………………..Full Article: Source

Silver Takes the Gold

Posted on 13 July 2016 by VRS  |  Email |Print

Commodities’ performance is quite a reversal from the weakness we’ve seen lately, particularly last year, but we shouldn’t expect another 2004 or 2005, when global trade was humming. Conditions are still not ripe for a real takeoff, with manufacturing activity in China and the eurozone struggling to gain momentum.
But there’s hope. Many of the challenges standing in the way of growth were exposed when Britain voted last month to leave the European Union (EU), which I’ve been writing about for the past few weeks. Most recently, I highlighted some of the winners to emerge from Brexit, among them gold investors, U.S. homeowners and British luxury goods makers………………………………………..Full Article: Source

TDS: $1,500 Gold Possible If Fed Downgrades Rate Forecast

Posted on 13 July 2016 by VRS  |  Email |Print

TD Securities sees $1,400 gold and says $1,500 may even be possible if the Federal Reserve further cools market expectations for interest rates. The metal has benefited from the “disarray” caused by the U.K. after its vote to leave the European Union, as well as global disinflation and low interest rates.
“Given that there are likely to be significant flows into gold and other precious metals seeking protection from the current turmoil, the record amount of net-long exposure should not impede the yellow metal from trending toward $1,400/oz,” TDS says. “If we see the Fed downgrade its rate forecast in the not-too-distant future, a move toward $1,500/oz is also very possible, particularly if the negative yield narrative grows even louder.”……………………………………….Full Article: Source

Gold Is Not ‘Crowded’ Yet; Here’s Why

Posted on 13 July 2016 by VRS  |  Email |Print

Is gold a crowded trade yet? Bulls are growing more optimistic by the day. Gold futures have climbed 26% to $1,333 an ounce this year (despite a 1.7% drop on Tuesday as risky assets rallied).
Nicholas Colas, chief market strategist at New York brokerage Convergex, notes that gold-tracking ETFs have pulled in $16.2 billion this year, reversing the $2.7 billion of outflows from the second half of 2015. Demand for gold ETFs is basically the same as demand for U.S. stock ETFs, which have pulled in $16.9 billion. Meanwhile, gold ETFs demand, at 364 tonnes in the first quarter of this year, the highest since the start of 2009………………………………………..Full Article: Source

Why investors should expect the gold price to continue to rise

Posted on 13 July 2016 by VRS  |  Email |Print

Despite the move towards more ‘risk-on’ assets in recent days, investors should continue to expect the gold price to rise, according to Nitesh Shah, commodity strategist at ETF Securities.
Positive economic data from the US, coupled with the view that the Bank of England will boost stock markets, and maybe economic growth with an interest rate cut and perhaps more quantitative easing, has pushed many investors back into equities, with the US S&P 500 hitting an all time high, and the UK FTSE 100 advancing significantly from the lows achieved immediately after the EU referendum result………………………………………..Full Article: Source

Gold price rally helps producers climb world’s top 25 mining companies list

Posted on 12 July 2016 by VRS  |  Email |Print

Gold has consolidated its post-Brexit gains this month and continues to be the best-performing commodity so far this year, filling the pockets of most producers of the precious metal, a new study shows.
According to SNL Metals & Mining, gold-focused companies have climbed the most in the ranking of the world’s top 25 mining companies by market capitalization from April to June this year, helped by rising gold prices, declining mining costs and, most recently, global economic uncertainty as a result of the UK’s decision to leave the European Union in June………………………………………..Full Article: Source

Post-Brexit gold rush pushes price to two-year high

Posted on 12 July 2016 by VRS  |  Email |Print

Gold has proven a popular investment after Britain’s vote to exit the European Union. Investments sold as “safe” are often anything but, however. If you thought the Brexit vote was scary, check out the full page newspaper ad that recently appeared in The New York Times recounting all the horrors in the present tense, as if they were still unfolding: The vote “topples” the British government, “crushes” the pound and “wipes away” billions in stock market wealth.
Then came the purpose behind all the panicky prose. “Buy Gold Now!” Investors have done just that, pushing up the price of the metal to a two-year high………………………………………..Full Article: Source

Could gold rally end in a rout?

Posted on 12 July 2016 by VRS  |  Email |Print

I always find it curious how investors react to political crises. As Brexit fever was in full throttle, thousands of perfectly sensible folk decided to dump their cash into gold coins. Why on earth would anyone think that Brexit would make any difference to gold prices?
I suspect I am missing the point. Brexit was almost perfectly timed to fan the flames of already growing alarm among investors about impending recession, diminishing returns for QE, and a more general sense the debt bubble may burst soon………………………………………..Full Article: Source

The relationship between gold and silver has changed dramatically

Posted on 12 July 2016 by VRS  |  Email |Print

While gold has soared this year, silver has skyrocketed, leading to a big move in a key measure of relative strength often used by traders. In the beginning of 2016, an ounce of gold was worth as much as 77 ounces of silver; by the end of February, that number would rise above 83.
Yet on Monday, with gold trading at $1,357 per troy ounce and silver at $20.40, the gold/silver ratio is down to 66.5. While this the lowest this indicator has been since September 2014, the ratio is actually still above historical norms………………………………………..Full Article: Source

Silver outperforms YTD, but likely to correct lower - Citi

Posted on 12 July 2016 by VRS  |  Email |Print

Silver may be the best performing metal in the year to date, boosted by safe-haven flows and end-use demand, but Citi expects profit-taking to take the price lower over the rest of 2016, it said. It sees the metal correcting to average $18.30 per ounce in the third quarter and to average $16.95 over the whole of the year, it said in a note.
Spot silver prices breached $20 for the first time since April 2014 this year. At $20.345/20.370 recently, it was little changed from the previous close. Citi expects more of the same in the second half of the year because the market is arguably already positioned heavily long, it said………………………………………..Full Article: Source

Platinum and palladium to find price support from deficits in 2016: Citi

Posted on 12 July 2016 by VRS  |  Email |Print

Supplies of platinum and palladium, key ingredients in autocatalysts, are forecast to be in deficit for full-year 2016, with the dollar platinum price averaging $985/oz this year and $1,040/oz in 2017, Citi said Monday.
Strategist at the bank David Wilson said platinum is likely to register a 172,000 oz deficit with palladium short by 847,000 oz. “We expect platinum to average $1,120/ounce in 2018. For palladium, we expect $570/oz (up 7% from previous estimates), $640/oz (up 2%), and $690/oz (unchanged) in 2016, 17, and 18 respectively,” he said………………………………………..Full Article: Source

Gold outshines all commodities in 2016

Posted on 11 July 2016 by VRS  |  Email |Print

A more than 20 per cent growth in global gold demand during the first quarter of 2016 made the precious metal the best-performing commodity so far this year, the Dubai Chamber of Commerce and Industry said in its latest analysis. Global gold demand jumped by 21 per cent to 1,289.8 tonnes in the March quarter of this year, according to the World Gold Council.
Gold prices, along with other precious metals, such as silver, had been on a declining trend between 2011 and 2015 due to recurring worries about the global economic recovery, strong dollar, cheap energy cost and the consequent low levels of inflation………………………………………..Full Article: Source

UBS: Gold Set For Bull Run But…

Posted on 11 July 2016 by VRS  |  Email |Print

The latest gold forecasts from UK-based UBS investment strategist Joni Teves open with the sentences: “We think gold has entered a new phase. Gold has likely entered the early stages of the next bull run.” Teves goes on to forecast an average gold price for the year of $1,280 (up $55 from the previous forecast), which may look rather less than bullish at first sight given the current gold price in the $1,360s, but points out that the average price this year so far has only been $1,222.
Thus the new average price prediction suggests an H2 average of around $1,340 - conservative but perhaps realistic if gold sticks in the $1,350-$1,400 range for the remainder of the year………………………………………..Full Article: Source

Investors pin hopes on Hummingbird striking gold

Posted on 11 July 2016 by VRS  |  Email |Print

“Civilised people don’t buy gold. They invest in productive businesses,” Charlie Munger, Warren Buffett’s partner, said in 2012. Farmland trumps gold nuggets any day, the Sage of Omaha opined.
Tell that to the markets. The gold price keeps hitting new highs following the vote on Brexit. Last week, it rose above $1,375 an ounce, up from $1,050 at the start of the year. Bank of America Merrill Lynch now predicts that economic uncertainty will drive the price above $1,500………………………………………..Full Article: Source

Japanese Buying Physical Gold, Storing it in Switzerland

Posted on 11 July 2016 by VRS  |  Email |Print

Japanese investors are buying Bullion and storing it in Switzerland because of negative interest rates and fears JPY will depreciate as the government grapples with the heaviest public debt burden in the developed world, according reports.
The number of buyers jumped 62% in 1-H of Y 2016 Vs 2-H of Y 2015 the data show. The Bank of Japan (BOJ) has embarked on unprecedented bond buying to bolster the economy, prompting speculation that JPY could plunge if stimulus efforts fail………………………………………..Full Article: Source

Why This Aussie Firm Says Gold to ‘Certainly’ Hit $1,500, Maybe Even $1,900

Posted on 11 July 2016 by VRS  |  Email |Print

Another bullish call on gold. Surprise, surprise. But, this Sydney-based firm sees the potential of a $200-500 rally in gold because of what’s happening in Asia. “You have to look at the long term in gold…more people are coming into the market looking for gold and there’s not much there, so gold’s has got the potential to rally quite strongly,” Barry Dawes of Paradigm Securities said.
“I think we’re certainly going to see $1,400 quite soon and I think we’ll certainly see $1,500 by year end and maybe even that $1,900.” Positive sentiment towards the yellow metal has been prevalent with Bank of America Merrill Lynch being the latest among a slew of banks to up their gold price forecast for this year………………………………………..Full Article: Source

These 4 Banks Are Bumping Their Gold Forecasts

Posted on 08 July 2016 by VRS  |  Email |Print

UBS has increased its short-term target to $1,400 an ounce. For this year, the Swiss bank has increased its yearly average to $1,280 an ounce, up from $1,225; for the second half of the year, gold analyst Joni Teves said in her note that she expects prices to average $1,340 an ounce.
Commodity analysts at Commerzbank do not see gold’s safe-haven appeal coming to end anytime soon as they increase their year-end forecast by $100 to $1,350 an ounce. The bank also sees more potential for gold as analysts expect the Federal Reserve will not be in a hurry to raise interest rates in these current market conditions………………………………………..Full Article: Source

Gold Prices Pull Back From Two-Year High

Posted on 08 July 2016 by VRS  |  Email |Print

Gold prices fell from a two-year high on Thursday as investors took profits ahead of the release of widely anticipated jobs data on Friday. Gold for August delivery settled down 0.4% at $1,362.10 a troy ounce on the Comex division of the New York Mercantile Exchange, and traded as low as $1,352.00 earlier in the session.
June nonfarm payrolls are expected Friday, which could give further clues on the strength of the U.S. economy and affect the likelihood that the Federal Reserve will raise rates this year. A rate increase could weigh on the price of gold, since the precious metal doesn’t bear interest and can struggle to compete against yield-bearing investments when interest rates rise………………………………………..Full Article: Source

Gold Headed For $1500 And This Time It Really Is Different

Posted on 08 July 2016 by VRS  |  Email |Print

Gold has made quite a run and some bears argue that it will correct at least 300 points because of a commodity bear super cycle. Despite the long-term double top pattern in gold, one should not automatically presume that crowd behavior will react in a similar manner.
This time it really is different as the underlying economic fundamentals support higher gold prices. Currently, gold is in the midst of a bullish Fibonacci retracement and its next target is $1500………………………………………..Full Article: Source

How High Is ‘Sky-High’ Silver Price?

Posted on 08 July 2016 by VRS  |  Email |Print

Now that the precious metals’ five-year cyclical bear market is acting like it’s been replaced by a vibrant bull run in the opposite direction (up!), many analysts who chided the ongoing rise in the mining stocks and metals that started in December 2015 are begrudgingly changing their “outlook” so they don’t get left behind.
Some veterans are holding to long-stated targets, while others are raising them as Mr. Market gives us new information. Perhaps the prediction laying claim to the most fascinating “sneaks up and gets you” was uttered by Franco Nevada Mining Corp………………………………………..Full Article: Source

Let’s Explore our Silver Price Forecast in 2016

Posted on 08 July 2016 by VRS  |  Email |Print

Silver prices have now climbed more than 40% in 2016, prompting investors to call for a silver price forecast for the remainder of the year and beyond. Today (Thursday), silver prices have pulled back slightly to $19.77, but we see this as only a short-term slide.
Several factors lead us to an encouraging silver price forecast for the rest of 2016. Let’s take a look. Investors snapped up silver throughout June for several reasons. Investors sought safe-haven assets, particularly precious metals, in the wake of the June Federal Open Market Committee Meeting (FOMC) amid fears that interest rates could be hiked………………………………………..Full Article: Source

Two-Year High on Gold Prices Fueled by Brexit-Spooked Investors

Posted on 07 July 2016 by VRS  |  Email |Print

Gold rose to its highest price in more than two years on Wednesday, as investors piled back into the safe-haven asset after the benchmark U.S. government bond yields hit all-time lows amid renewed market jitters over Britain’s decision to leave the European Union.
Asian share markets turned tail as fears over instability in the European Union returned with a vengeance, sending the pound to three-decade lows and hammering risky assets of all stripes………………………………………..Full Article: Source

Gold Shines but Other Commodities Have a Disastrous Time

Posted on 07 July 2016 by VRS  |  Email |Print

The bullish case for gold remains even as other commodity futures slump on concerns about global growth. The long weekend in the U.S. did little to keep the rest of the world calm about Brexit fallout, so gold — typically seen as a safe haven in times of market volatility and uncertainty — continues to see inflows.
As the world seeks some political leadership, central bank ineptness is weighing on global fixed-income yields and creating an unstable currency environment. This continues to make gold attractive………………………………………..Full Article: Source

UBS: ‘Gold has entered a new phase’

Posted on 07 July 2016 by VRS  |  Email |Print

The price of gold will continue to shoot up in 2016, and has now “entered a new phase” of growth in the post-Brexit world, thanks to a variety of macroeconomic factors. The gold price has increased 24% this year so far.
And the risks to the global economy will make it the go-to investment for the rest of 2016, according to UBS strategist Joni Teves in a note circulated to clients on Tuesday………………………………………..Full Article: Source

This is the start of a gold bull market, says strategist

Posted on 07 July 2016 by VRS  |  Email |Print

Gold is at the dawn of a new bull market as financial risks abound, VanEck gold and precious metals strategist Joe Foster said Wednesday. Foster spoke after gold rose to $1,377.50 an ounce, its highest since March 2014. The yellow metal is up nearly 29 percent in 2016, after three straight years of declines.
In addition to Britain’s vote to leave the European Union, investors are grappling with financial risk as the U.S. Federal Reserve struggles to raise interest rates while central banks overseas ease them, Foster said………………………………………..Full Article: Source

Forget gold, silver is on fire and could hit $25/oz. by the end of 2016

Posted on 07 July 2016 by VRS  |  Email |Print

Silver has outshined its sister metal since the U.K.’s decision to leave the European Union sparked turmoil in global equities markets, and the rally could lift the white metal to a three-year high.
Gold and silver futures have reached their highest levels in about 2 years. On Wednesday, gold futures settled at $1,367.10 an ounce, marking their highest finish since March 2014, while silver futures hit a 23-month high of $20.203 an ounce………………………………………..Full Article: Source

What Is Causing The Surge In The Price Of Silver?

Posted on 07 July 2016 by VRS  |  Email |Print

Have you seen what the price of silver has been doing? On Monday, it exploded past 20 dollars an ounce, and as I write this article it is sitting at $20.48. Earlier today it actually surged above 21 dollars an ounce for a short time before moving back just a bit.
In late March, I told my readers that silver was “ridiculously undervalued” when it was sitting at $15.81 an ounce, and that call has turned out to be quite prescient. The Friday before last, silver started the day at $17.25 an ounce, and it is up more than 18 percent since that time………………………………………..Full Article: Source

CITI: Oil is a better safe-haven option than gold

Posted on 06 July 2016 by VRS  |  Email |Print

One of the more popular debates among economists revolves around this question: What’s the point of gold? Some think it doesn’t serve any purpose, and therefore has no intrinsic value. Others claim that hoarding gold is a legitimate way to safely store wealth in preparation for economic troubles.
As such, a Citi research team led by Jonathan Stubbs argued that, overall, black gold — aka oil — is probably a better bet than gold. “Many investors see gold as the ultimate hedge. We see a strong case for owning ‘black gold’ over gold for those truly looking for a two-way, rather than one-way, hedge against real world risks,” the team recently wrote in a note to clients………………………………………..Full Article: Source

HSBC raises 2016, 2017 gold price forecasts

Posted on 06 July 2016 by VRS  |  Email |Print

HSBC has raised its 2016, 2017 average gold price forecasts to $1,275 per ounce and $1,310 an ounce respectively. And, forecast $1,270 an ounce for 2018. After three years on the backburner, investment demand is again setting the tone and direction for gold prices, it said.
HSBC said investment demand is driving prices and reflects the uncertain macro backdrop, dovish outlook for US interest rates, and appeal of gold in a negative rate environment. These factors will provide support, but the rally may be limited………………………………………..Full Article: Source

Gold Gains on a ‘Perfect Storm’ of Factors

Posted on 06 July 2016 by VRS  |  Email |Print

Gold jumped to its highest price since March 2014 on Tuesday as investors looked for a safe investment amid continued fallout from the United Kingdom’s vote to leave the European Union.
Gold for August delivery settled up 1.5% to $1358.70 a troy ounce on the Comex division of the New York Mercantile Exchange. “We’re seeing people adding to positions,” said Bob Haberkorn, senior market strategist at RJO Futures, adding that buyers are reacting to several factors………………………………………..Full Article: Source

The world’s experts believe gold will climb in value

Posted on 06 July 2016 by VRS  |  Email |Print

Gold has been attracting the attention of the masses for a while now, and for good reason. Throughout the first half of the year, the commodity grew in price by around 25%. However, experts like Marc Faber, Peter Schiff, and, even Ron Paul, believe that the value of the commodity is likely to climb, much much higher.
“Global growth has contracted, in other words, growth rates have been reduced and many countires are in recession already. That has nothing at all to do with Brexit… Brexit is actually not an end of globalization. On the contrary, it’s about people that rebel against the arrogant elite in the financial centers,” -said Marc Faber………………………………………..Full Article: Source

Manipulation of the gold market has created rare opportunities

Posted on 06 July 2016 by VRS  |  Email |Print

The banksters, by manipulating the price of gold and artificially creating a bear market, have created what will likely turn out to be one of the greatest opportunities ever seen. I’ve maintained all along this was their goal. To create the most destructive bear market in history, which would then generate the largest bull market the world has ever seen.
Folks, you might as well take advantage of this opportunity. The banksters aren’t the only ones that deserve to get rich. They have destroyed millions of peoples lives as the authorities stood by and watched them run the precious metals markets, and especially the mining sector, down to absurd levels over the last few years………………………………………..Full Article: Source

Why Gold Is Now In A New Bull Market

Posted on 06 July 2016 by VRS  |  Email |Print

Though many believe that the global interest in gold peaked five years ago, a new bull market appears to be on the rise. Most people understand that gold is valued for its impressive aesthetics. Yet gold is also used in a variety of medical and industrial applications. The number of reasons to invest in gold is seemingly endless.
Today’s prices are particularly attractive, prompting many industry insiders to declare that the future of gold will continue to shine bright. Keep reading to find out why gold is entering the beginning phases of a new bull market that could last for years or even decades………………………………………..Full Article: Source

Japan Sees Strong Retail Gold Demand Following Brexit Vote

Posted on 06 July 2016 by VRS  |  Email |Print

The fallout of Britain’s referendum to leave the European Union less than two weeks ago continues to be felt around the globe as consumers buy safe-haven assets like gold. In Japan, the asset of choice has been physical bullion.
Tuesday, Japanese media reported that gold retailer Tanaka Kikinzoku Kogyo K.K has seen purchases of its gold bullion products increase 1.8% since the Brexit vote passed. According to Japanese Newspaper Yomiuri Shimbun, retail gold purchases in the last week is comparable to demand seen in 2008 following Lehman Brother’s collapse, which led to the global financial crisis, or in 2014 when the Japanese government raised the consumption tax rate to 8%………………………………………..Full Article: Source

Brexit Sends Silver Prices Soaring

Posted on 06 July 2016 by VRS  |  Email |Print

All eyes have been on gold amid this year’s economic uncertainty, but the price of silver is rising even faster, Gazeta.ru reported. The result of the Brexit referendum in the UK has added to economic uncertainty and increased the value of precious metals.
On Wednesday gold futures for August delivery were trading at $1,350.70 per troy ounce, the highest level since mid-March 2014, according to data from Marketwatch. The threat of recession and already high gold price has also led investors to seek another safe haven – silver………………………………………..Full Article: Source

Gold prices will hit record high in next 18 months as global bond yields crash

Posted on 05 July 2016 by VRS  |  Email |Print

Gold prices may hit all-time highs in the next 18 months amid low to negative global bond yields, said a fund manager on Monday, joining a chorus of bullish calls on the safe haven commodity.
Despite being a non-interest bearing asset with holding costs, gold was attractive in the current climate where there was little trust in the establishment and its policies as demonstrated by the June 23 referendum in the U.K. when voters chose to leave the European Union, said Swiss Asia Capital’s Singapore managing director and chief investment officer, Juerg Kiener………………………………………..Full Article: Source

Investors hold the gold as risk-appetite goes cold

Posted on 05 July 2016 by VRS  |  Email |Print

The amount of cash invested in gold funds has jumped by one-third since the beginning of the year, as investors become more and more desperate to squirrel their money away in safe havens.
Data from Bloomberg showed holdings in bullion-backed exchange-traded funds (ETFs) swelled to 1,959 tonnes at the end of June, up from 1,458 at the beginning of the year, with a flurry of new investments off the back of the UK’s decision to leave the EU………………………………………..Full Article: Source

Silver Tops $21 for First Time Since ’14 as Investors Seek Haven

Posted on 05 July 2016 by VRS  |  Email |Print

Silver vaulted above $21 for the first time in two years and gold advanced for a fourth day on speculation of more central bank stimulus in the wake of the U.K.’s vote to leave the European Union. Mining shares surged.
Spot silver jumped as much as 7 percent to $21.1377 an ounce and settled at $20.3246 in New York on Monday, according to Bloomberg generic pricing. Spot gold rose as much as 1.2 percent to $1,357.63 an ounce, near a two-year high, and settled at $1,350.79………………………………………..Full Article: Source

Silver crushes even gold as it powers to 2-year high

Posted on 05 July 2016 by VRS  |  Email |Print

Silver futures aren’t taking it easy during the Independence Day holiday. September silver SIU6, +4.45% is leaping 4.4% to $20.45 an ounce on Monday. The contract even briefly traded as high as $21.23 an ounce, according to FactSet data.
The metal has touched levels last seen in July 2014, as shown in the chart below. August gold is gaining Monday as well, but it’s only up about 1%. Analysts say silver and gold are both benefiting from haven demand as investors worry about the U.K.’s June 23 vote to leave the European Union. And silver isn’t just a safety play in the Brexit unrest………………………………………..Full Article: Source

Gold prices likely to remain high in the current year due to Brexit

Posted on 04 July 2016 by VRS  |  Email |Print

Gold prices likely to move up further in the current calendar year owing to uncertainties in the global markets as U.K. voted to exit from the European Union. Gold prices shot up to its highest level in three years, in the aftermath of the Brexit referendum, on last Friday, as investors rushed to grab safer assets, leaving equities and other risk assets, which were already facing selling pressure.
The prices of gold hit a three-year peak at around $1,355 per ounce on June 23, and hovering between $1310 and 1,320 per ounce in the international market currently. Earlier the highest price recorded was at around $1,900 per ounce in 2012 which moved down to $1,100 per ounce in the subsequent period, mostly attributed to the sluggish purchase by the central banks……………………………………….Full Article: Source

There’s More To The Gold Price Rally Than Brexit

Posted on 04 July 2016 by VRS  |  Email |Print

Brexit has sparked a rush into safe haven assets, and one of the assets that has benefited most is gold. The price of gold spiked at the end of last week as investors rushed to buy the yellow metal seeking a safe haven while markets around the world collapsed. Over the past 30 days, the price of gold is up about 8.8%, around $106 per troy ounce.
And over the past six months, the price of the yellow metal is up by nearly a quarter, $258 per ounce. Analysts at Credit Suisse believe the gold’s gains this year have been driven by more than just Brexit………………………………………..Full Article: Source

Dubai gold prices forecast to move higher this week

Posted on 04 July 2016 by VRS  |  Email |Print

Gold has continued to gain support from Britain’s decision to leave the European Union, with the precious metal in Dubai currently trading at nearly 2 per cent higher than a week ago. The majority of Investors and other experts in the market expect the bullion’s prices to climb higher this week, as shockwaves from the Brexit vote have yet to settle down completely.
In the latest Kitco gold survey among analysts, traders and market professionals, about seven in ten (73 per cent) of the respondents from Wall Street, as well as 65 per cent from the “main street”, are bullish about gold’s performance this week………………………………………..Full Article: Source

Brexit Gold Rally Seen Cutting Indian Imports to 7-Year Low

Posted on 01 July 2016 by VRS  |  Email |Print

The surge in gold prices after Britain’s vote to quit the European Union will deal a further blow to demand in India, the second-largest consumer, and may cut imports to the lowest in seven years, said Bachhraj Bamalwa, a director at the All India Gems & Jewellery Trade Federation.
Purchases from overseas are seen slumping to about 700 metric tons this year, Bamalwa said by phone from Kolkata on Wednesday. That’s a decline of 23 percent from 2015 and the smallest since the country imported 559 tons in 2009, data from the London-based World Gold Council show………………………………………..Full Article: Source

Gold Logs Best Two Quarters Since 2007

Posted on 01 July 2016 by VRS  |  Email |Print

Gold prices settled lower on the day Thursday but logged its biggest two-quarter percentage increase since 2007, as investors piled into the metal amid global economic uncertainty and the U.K.’s vote to leave the European Union.
Gold futures rose some 24% over the last two quarters, the best two-quarter performance since the fourth quarter of 2007, and advanced nearly 7% in the second quarter. The strong gains come even as futures for August delivery, the most actively traded contract on Thursday, settled down nearly 0.5% on the day, to $1,320.60 a troy ounce on the New York Mercantile Exchange………………………………………..Full Article: Source

3 Reasons Why This Gold Rally Can Last

Posted on 01 July 2016 by VRS  |  Email |Print

The story of the year in financial markets has been gold’s underdog rally from multi-year lows. Can it last? Heiko Ihle at Rodman & Renshaw says that yes, indeed, the rally can continue. The analyst sees a “paradigm shift in sentiment for the gold market” and outlines three factors that we feel should “not only support gold at current levels,” but “potentially continue to push prices higher going forward.”
The SPDR Gold Shares (GLD) added 0.2% to $126.14 in recent trading. Here’s more: “The next bull market in precious metals and precious metal related equities has begun. Our updated price deck of $1,300 per ounce gold and $17.50 per ounce silver reflects what we believe to be the dawn of a new era.”……………………………………….Full Article: Source

Precious metals: Safe haven in unstable times

Posted on 01 July 2016 by VRS  |  Email |Print

Economic upheaval. Monetary shenanigans. Cashless society and computer hackers. The reasons to own physical precious metals are legion, in light of the truism that governments and their paper currencies rise and fall, but gold always has intrinsic and universal value.
Individuals have long chosen to own gold coins and other precious metals because it serves as a storehouse of wealth and a solid, tangible investment………………………………………..Full Article: Source

Gold Prices Steady as ‘Brexit = Lehmans’, Worst ‘Yet to Come’, Chaotic UK Parliament Debates Lindsay Lohan Tweets

Posted on 01 July 2016 by VRS  |  Email |Print

Gold Prices held tight at this week’s opening level on Thursday in London, trading at $1317 per ounce as the rebound in Western stock markets stalled and the leadership race for both the UK’s ruling and opposition political parties grew yet more fractious. The US Dollar and Japanese Yen eased further back however from last week’s ’safe haven’ surge following the UK’s shock Brexit vote.
Major government bond prices also eased, edging 10-year US Treasury yields up to 1.50% per annum from this week’s new 4-year lows. The British Pound meantime continued to edge higher on the FX market, but held 10% down from this time last week………………………………………..Full Article: Source

Another Rally Looms for Gold ETFs

Posted on 01 July 2016 by VRS  |  Email |Print

The SPDR Gold Shares, iShares Gold Trust and ETFS Physical Swiss Gold Shares and rival gold exchange traded products have been in focus as investors look for safe-haven plays in a post-Brexit world. That could be a sign of more upside to come for already gold and the related ETFs.
Some analysts still believe that is possible gold ascends to $1,500 per troy ounce. Gold bullion prices have surged almost 20% this year as the Fed previously signaled it would slow the pace of interest rate normalization this year – higher interest rates typically weigh on gold prices since the hard asset provide no yield and would become less attractive to higher-yielding conservative debt assets in a rising rate environment………………………………………..Full Article: Source

Gold could be set for a strong breakout

Posted on 30 June 2016 by VRS  |  Email |Print

The British voters’ decision to leave the EU has badly shaken markets– although the dollar remained relatively calm while investors rushed into the safety of gold. Gold prices reached the long-term resistance target projection level of $1,340 before retreating. This is a rally within the context of a longer-term uptrend breakout.
Technically, this breakout is strong and there is a strong probability gold will move above $1,340 and move towards resistance near $1,580. However, there are important changes in the structure of the gold market that make the move above $1,350 and towards $1,580 more hazardous and volatile……………………………………….Full Article: Source

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