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Hedge Funds Keep Betting on Silver Even as Rally Starts to Fade

Posted on 16 May 2016 by VRS  |  Email |Print

Hedge funds expanded their bullish bets on silver to an all-time high even as this year’s hottest metals rally began to fade. Money managers added to their net-long positions in silver for the fourth time in five weeks, chasing the kind of returns that in the first three months of the year sent the precious metal to its best quarterly gain since 2012.
The price surge is showing signs of fatigue, with futures posting two consecutive weekly declines and an almost 4 percent drop for May. Silver leapfrogged gold in mid-April as the best-performing precious metal as data signaled a resilient U.S. expansion and a stabilizing Chinese economy………………………………………..Full Article: Source

China goes cold on platinum jewellery, crimping world demand

Posted on 16 May 2016 by VRS  |  Email |Print

China’s penchant for luxury platinum jewellery is fading despite lower global prices, leaving world demand for the metal exposed to sharper decline. China is by far the biggest market for platinum jewellery, making up more than 60 percent of global manufacturing use for the white metal in 2015.
A close to double-digit drop in Chinese platinum jewellery demand is expected this year, GFMS analysts said ahead of the industry gathering London Platinum Week, which starts on Monday. This follows a seven percent drop in Chinese buying in 2015 fed into a four percent decline in global demand for jewellery made from the metal………………………………………..Full Article: Source

Platinum and palladium markets to go into deficit in 2016: GFMS

Posted on 16 May 2016 by VRS  |  Email |Print

There is good news on the horizon for investors of platinum group metals (PGMs), though a reader has to scrutinize the fine print in the latest report from GFMS to find it. The GFMS team at Thompson Reuters released their annual GFMS Platinum Group Survey 2016 (registration required) last week.
In it, GFMS forecasts the platinum market will return to a small deficit in 2016 and the deficit in palladium will deepen, with the chief determinant of lowered supply for platinum being a reduction in mined metal. “There will be little addition from new projects in the development pipeline while the headwinds of mines’ reduced capital spending is expected to start to weigh,” say the report’s authors………………………………………..Full Article: Source

Price of Gold Will Rally in 2016 Thanks to These 2 Bullish Trends

Posted on 13 May 2016 by VRS  |  Email |Print

There are two reasons why prices will continue higher in 2016. But first, here’s the newly revealed trend that’s pushing the gold price higher today…This Is Why the Price of Gold Is Surging in 2016: A report from the World Gold Council (WGC) today shows gold demand is rising faster than ever.
During the first three months of 2016, demand for the metal soared 21%. Investors piled into gold due to worries of a global slowdown and market volatility. Gold demand in Q1 2016 totaled 1,289.90 tons. That’s a huge 21% increase from 1,070.40 tons last year………………………………………..Full Article: Source

2016 gold price rally’s all about ETFs, hedge funds

Posted on 13 May 2016 by VRS  |  Email |Print

On Wednesday, gold snapped back some of its recent losses adding nearly $10 in New York in another day of brisk trading. At $1,275 an ounce, gold is up just over 20% since the start of the year. A new study shows the rally – the best start to the year in almost three decades – has been almost entirely driven by investors in physical gold-backed exchange traded funds and large-scale futures speculators like hedge funds.
According the the World Gold Council’s Gold Demand Trends study ETF investors who’ve been stocking up on the metal right out of the gate in 2016 were behind the best ever first quarter for the metal and the second largest quarter on record after Q1 2009………………………………………..Full Article: Source

Gold price rally in Q1 best in 30 years: WGC

Posted on 13 May 2016 by VRS  |  Email |Print

The enthusiasm with which investors renewed their appetite for gold ETFs in Q1 saw prices of the yellow metal (in US dollar terms) rally 17 per cent in in the first quarter of calendar year 2016 (CY16), says the latest World Gold Council report. Gold closed the quarter at $1,237/oz, 17 per cent above the end-2015 price of $1,060/oz.
Gold demand, on the other hand, grew 21 per cent to 1,289.8 tonnes - the strongest Q1 on record. Inflow into gold exchange traded funds (ETFs) at 363.7 tonnes in the first quarter of calendar year 2016 (CY16) also hit a seven-year high………………………………………..Full Article: Source

Gold miners net cash by 2018 as Goldmans ups price deck

Posted on 13 May 2016 by VRS  |  Email |Print

Analysts are throwing their weight behind a stronger gold market in the medium term with Goldman Sachs upgrading its dollar gold price deck by 10% to 15% for the next three years.JP Morgan was also positive on the medium term outlook for precious metals but diverging views on the platinum group metal (PGM) market could spell trouble in the short term for the normally robust gold stock, Sibanye Gold.
In a note published this morning, Goldman Sachs said the mines held in Rustenburg Platinum Mines, the entity Sibanye Gold is buying from Anglo American Platinum (Amplats), were not generating cash at current PGM prices………………………………………..Full Article: Source

Demand for gold skyrockets, but skepticism remains

Posted on 13 May 2016 by VRS  |  Email |Print

Gold fever is back, a sign of investors’ growing – but perhaps misplaced – anxiety about what lies ahead for the global economy. The World Gold Council, the marketing arm of the gold industry, announced on Thursday that demand for the precious metal hit its second-highest level on record during the first quarter of the year.
Meanwhile, Bank of Montreal analysts boosted their forecast for gold. They say they now expect the metal to begin next year at around $1,400 (U.S.) an ounce. That is well above its current level of roughly $1,270 and far ahead of the bank’s previous forecast of $1,200………………………………………..Full Article: Source

After Five Years, Gold Miners Start to Bet on Growth Again

Posted on 13 May 2016 by VRS  |  Email |Print

Gold mining companies are getting ready to do something they haven’t done in half a decade. As precious metal prices have fallen steadily over the past few years, miners have been forced to cut back on costs and abandon new development projects. Now some analysts say mining companies are ready to pour money back into growth.
“This is something we haven’t seen in five years,” said Jessica Fung, a metals analyst at BMO Capital Markets. “It’s starting to look interesting again.”……………………………………….Full Article: Source

Goldman Raises Gold Forecast While Retaining Bearish Outlook

Posted on 12 May 2016 by VRS  |  Email |Print

Goldman Sachs Group Inc. raised its forecasts for bullion prices as it scaled back expectations of U.S. Federal Reserve rate hikes over the next year, while remaining bearish on the metal’s prospects.
The bank increased its three, six and 12-month forecasts to $1,200, $1,180, and $1,150 an ounce from $1,100, $1,050 and $1,000 respectively, analysts including Jeffrey Currie and Max Layton wrote in a report dated May 10. Gold currently trades around $1,270………………………………………..Full Article: Source

Goldman Expects Gold to Drop 10%–And That’s More Optimistic Than Its Last Call

Posted on 12 May 2016 by VRS  |  Email |Print

Goldman Sachs Group is warming to gold. A bit. For some time Goldman has been one of the biggest bears on the yellow metal, but a surge in its price coupled with more supportive macro factors has softened its tone.
As recently as March, Goldman had a 12-month target of $1,000 a troy ounce for gold, despite its impressive 16% rally in the first quarter that sent the price soaring above $1,200. The bank put the rally down to short-term geopolitical risks and an excessive belief in the weakness of the U.S. economy………………………………………..Full Article: Source

Gold has entered a new bull market: JPMorgan

Posted on 12 May 2016 by VRS  |  Email |Print

Gold prices are surging this year, and that has one of Wall Street’s largest banks flocking to the yellow metal. “We’re recommending our clients to position for a new and very long bull market for gold,” JPMorgan Private Bank’s Solita Marcelli said Tuesday on CNBC’s “Futures Now.”
After seeing three back-to-back years of losses, the precious metal has rallied 20 percent in 2016. And that’s just the start of the next leg higher, according to Marcelli. “$1,400 is very much in the cards this year.”……………………………………….Full Article: Source

Gold Bullion Is “Long Term Insurance Policy” – HSBC’s Steel

Posted on 12 May 2016 by VRS  |  Email |Print

Gold bullion is a “long term insurance policy” according to James Steel, chief commodities analyst at HSBC, who spoke with Tom Keene about what’s driving gold markets on “Bloomberg Surveillance” yesterday. In Bloomberg’s “Single Best Chart,” Keene displays inflation adjusted ‘London gold prices’ going back to 1950.
Steel is cautious on gold in the short term but positive in medium and long term and thinks gold will “churn higher.” When asked about whether he has a “message for gold bugs … people who have Krugerrands in their dressing room drawer”, Steel spoke of gold’s portfolio insurance benefits and “the diversification argument is the most powerful … it is an insurance policy”………………………………………..Full Article: Source

Gold Now in a Long Bull Market, Analysts Say

Posted on 12 May 2016 by VRS  |  Email |Print

JPMorgan is bullish on the precious metal, and Goldman Sachs is upping its price targets as well. Gold is glittering, and that has analysts making a bull call on the precious metal.
“We’re recommending our clients to position for a new and very long bull market for gold,” said Solita Marcelli of JPMorgan Private Bank on CNBC’s “Futures Now” Tuesday. The precious metal has shot up more than 20% so far this year vs. a 1.2% gain for the S&P 500………………………………………..Full Article: Source

Investors should expect the gold price to continue to rise

Posted on 12 May 2016 by VRS  |  Email |Print

Policy makers in the US continue to look for an excuse to keep interest rates low, and that should send the gold price higher from here, according to Nitesh Shah, analyst at ETF Securities.
US interest rates rise in December, but remain at near record low levels. When they last rose, the market expectation was for as many as four further interest rate rises this year. The uncertainty that has wrapped itself around the global economy almost since the first day of 2016 has reset those rate expectations………………………………………..Full Article: Source

Will Silver Prices Rise in 2016?

Posted on 12 May 2016 by VRS  |  Email |Print

To figure out the answer to the question will silver prices rise in 2016, let’s look at recent silver price activity…Today silver is trading around $17 an ounce. It’s up for the year, but it hasn’t been a straight line to this level.
So far in May, the price of silver has risen about 4.3%. That compares to the S&P 500 Index that’s up about 1% this month. We’ll talk about what’s been pushing silver up soon, but first, a look at what happened before this climb………………………………………….Full Article: Source

A Precious Metals Update: Why Platinum Is A Good Investment

Posted on 12 May 2016 by VRS  |  Email |Print

Tom Cloud provides a precious metal update that includes the distorted economic data as well as his take on the huge short positions against gold and silver. Tom also covers the platinum market and why he believes platinum is a good investment going forward.
I have now sponsored Precious Metals Expert Tom Cloud on the SRSrocco Report because of his extensive 40 years experience in the industry and his upfront honesty in discussing his rates which are some of the lowest in the industry………………………………………..Full Article: Source

Mitsubishi: Macroeconomic Backdrop ‘Positive’ For Precious Metals

Posted on 12 May 2016 by VRS  |  Email |Print

Mitsubishi is upbeat on gold despite the recent pullback, although at the same time wary of a possible correction in the near term. Pressure in the early part of the week was the result from a stronger U.S. dollar, despite Friday’s disappointing U.S. jobs report, plus a comeback in equities, the firm says.
“In our view, the dollar and yield environment should remain supportive of higher gold prices into the medium term and support the uptrend; however, the lack of strong physical demand in Asia right now and perhaps overly bullish investor positioning puts gold in danger of a short-term correction or at least a period of consolidation,” Mitsubishi says………………………………………..Full Article: Source

Gold Loses Some of Its Allure

Posted on 11 May 2016 by VRS  |  Email |Print

Gold prices settled lower in U.S. trading on Tuesday, as investors sought out riskier assets amid a stock-market rally and an increase in oil prices. Gold futures for June delivery, the most actively traded contract on Tuesday, settled about 0.1% lower at $1,264.80 a troy ounce on the Comex division of the New York Mercantile Exchange.
The drop comes after gold shed about 2% in price on Monday, its biggest one-day loss in nearly three months, as the dollar gained strength. Despite the recent losses, gold is still up some 19% year to date, according to FactSet. Investors piled into gold earlier in the year amid global economic uncertainty and a weaker dollar, which makes gold less expensive to buy for holders of other currencies………………………………………..Full Article: Source

Is Gold a Strong Investment Through the Rest of 2016?

Posted on 11 May 2016 by VRS  |  Email |Print

There’s no doubt that gold has been an incredible investment throughout the year 2016. Since January first, the price of the precious metal has already gained by around 18%. Now the big question is, “Will gold remain as a strong investment throughout the rest of the year? In my opinion, the answer is yes. Today, we’ll talk about why.
Gold, like any other commodity is heavily dependent on the law of supply and demand. When supplies are low and demand is high, we tend to see gains in the price of gold. Adversely, when supplies are high and demand is low, we will likely see declines in the value of the commodity………………………………………..Full Article: Source

Gold investors return to funds as prices drop from one-year high

Posted on 11 May 2016 by VRS  |  Email |Print

Gold investors are piling back into exchange-traded products. While prices are hovering near the lowest in more than a week, holdings in bullion-backed funds rose 50 metric tons since April 25. That’s the biggest 10-day increase and longest run in two months.
A surge in purchases that helped boost bullion prices earlier this year ran out of steam in April as holdings fell 0.2%, the first monthly decline since December. After climbing to the highest in more than a year, prices retreated in the past week as the dollar gained on speculation the Federal Reserve remains on track to raise interest rates this year………………………………………..Full Article: Source

The Silver Price Will Rally in 2016 Thanks to One Fundamental Force

Posted on 11 May 2016 by VRS  |  Email |Print

The silver price peaked near $18 last week. And despite backing off a bit since then, silver prices still look strong. It seems the behavior of the U.S. dollar has been crucial in swaying silver prices in the very near term.
The U.S. Dollar Index (DXY) has strengthened over the past four trading sessions, making it difficult for the price of silver to keep pushing higher. While moves in the dollar will continue to influence the near-term silver price, fundamentals and sentiment are going to be the medium- and long-term drivers………………………………………..Full Article: Source

Gold Prices Today Fall – but More Gains Are Coming in 2016

Posted on 10 May 2016 by VRS  |  Email |Print

After pushing through the psychologically important $1,300 an ounce mark last week, gold prices fell sharply today (Monday). In morning trading, gold prices today were down more than 1.7%. But Money Morning Resource Investing Specialist Peter Krauth said today’s decline is just a short-term problem, and he remains bullish on the gold price moving forward.
Before we get into our outlook for gold prices in 2016, here’s why the price of gold is down today…Gold prices fell $22, or 1.71%, to $1,266.70 an ounce in U.S. trading Monday morning. After last week’s rally for the gold price, it appears many investors are taking profits today. The U.S. dollar index is also higher today, sending the price of gold lower………………………………………..Full Article: Source

India: Business is sluggish this Akshaya Trithiya due to rising gold prices

Posted on 10 May 2016 by VRS  |  Email |Print

It was a rush for gold on the auspicious day of Akshaya Trithiya on Monday with people thronging various jewellery shops across the city to mark the occasion with a good buy.
According to S Venkatesh Babu, president, Karnataka State Jewellers’ Federation (KJF), the business this year has been low due to the rising gold prices when compared to that of the previous year. The gold price for the day stood at Rs 2,850 per gram and Rs 3,050 for pure gold (24 carat)………………………………………..Full Article: Source

Gold Prices Sub-$1270 Despite Hedge Fund Surge as Dollar Rallies

Posted on 10 May 2016 by VRS  |  Email |Print

Gold Prices fell through $1270 per ounce for the first time in 5 trading sessions in London on Monday, retreating as the Dollar rallied on the FX market following Friday’s weaker than expected US jobs data, writes Steffen Grosshauser at BullionVault.
After the official non-farm payrolls report said the US economy added the fewest jobs in seven months in April, weak international trade data from China today saw the Dollar rebound to the highest levels in almost 2 weeks on its trade-weighted index against other major currencies. China’s exports shrank almost 2% last month from a year earlier, while imports sank by 10%………………………………………..Full Article: Source

Should I Ever Invest in Gold?

Posted on 10 May 2016 by VRS  |  Email |Print

There are two schools of thought regarding gold: One camp advocates owning gold as a hedge against inflation, a weakening dollar, and stock market disaster. The other camp, which includes Warren Buffett, argues the yellow metal has no role in a modern portfolio.
“Gold is always an interesting topic to discuss with clients and other advisers,” says Joe Heider, founder of Cirrus Wealth Management in Cleveland. He shares Buffett’s view that your investment dollars are put to better use in other assets. “Gold has no intrinsic value other than for jewelry and some industrial use, and it produces no income,” says Heider………………………………………..Full Article: Source

What Do Hedge Funds Think about Gold?

Posted on 10 May 2016 by VRS  |  Email |Print

Stanley Druckenmiller, chair and CEO of the Duquesne Family Office, spoke to the Sohn Investment Conference attendees on May 4, 2016. Throughout his investment career, his hedge fund track record has seen returns of 30%. According to one of his investors, the Duquesne fund never had a down year.
During the meeting, Druckenmiller was negative on China’s economy going forward. He also expressed his skepticism about the Federal Reserve’s policy. He recommended that investors opt out of the stock markets and also mentioned that his core investment and largest currency allocation is gold. ……………………………………….Full Article: Source

Gold prices jump 21% in 4 months

Posted on 09 May 2016 by VRS  |  Email |Print

After remaining subdued for a year, gold prices have surged 21 percent so far this year, pushed by international factors. The price of one gramme of 24-carat gold in local market jumped from QR131 on January 1 to QR157 at April-end, and the price of one gramme of 22-carat gold from QR122 to QR148.
The sharp rise in the prices have impacted consumers. “We have seen broadly two type of customers. One set has decided to postpone buying gold and are waiting for the prices to fall. The other set is buying gold thinking that it is better to buy now as the prices may rise further in future,” said the sales manager of a jewellery showroom in Doha………………………………………..Full Article: Source

Gold to retain its uptrend

Posted on 09 May 2016 by VRS  |  Email |Print

Bullion prices got a breather in the final trading session last week. This was thanks to the weak US Non-Farm Payroll (NFP) data which failed to meet market expectations. The global spot gold had begun the week on a negative note and was on a downtrend all through the week. But the US NFP data on Friday halted this fall and triggered a reversal from the low of $1,269 per ounce.
The yellow metal closed at $1,289 per ounce on Friday, down 0.35 per cent for the week, recovering some of its losses. Among other precious metals, platinum closed at $1,080 per ounce and was up 0.3 per cent. Silver was the worst hit as it tumbled 2.1 per cent and closed at $17.47 per ounce………………………………………..Full Article: Source

Gold is a useful portfolio diversifier

Posted on 09 May 2016 by VRS  |  Email |Print

Gold tends to perform well during periods of declining confidence. So, while you are framing an appropriate portfolio, remember that gold is an essential diversification tool. Investors have been worried about the volatility in equity markets over the past one year.
The first two months of 2016 also saw sharp correction in equities, and then a sharp pullback in March. Asset markets have been volatile and often bring into context the financial crisis of 2008, when equities were badly hit. Gold bucked the trend, and did well during this period. It also did well this year when equities were struggling………………………………………..Full Article: Source

Industry lobby expects 10-15% gold sales growth on Akshaya Tritiya

Posted on 09 May 2016 by VRS  |  Email |Print

The All India Gems & Jewellery Trade Federation (GJF) expects good growth in sales across India on Akshaya Tritiya, which falls on May 9 this year, due to the ongoing wedding season.
“Traditionally, Indians buy jewellery on Akshaya Tritiya and have great faith on this auspicious day. We expect a growth of 10-15% over last year due to pent up demand that was unfulfilled due to non-availability of products in previous months,” said G V Sreedhar, chairman of GJF……………………………………….Full Article: Source

Do not over-allocate to gold

Posted on 09 May 2016 by VRS  |  Email |Print

The past five years have seen gold prices contract from the peaks seen in September 2011. However, in recent months, prices have increased. For the financial year 2016, domestic gold prices rallied about 11%, the bulk of which happened in the first three months of the year—it increased nearly 20% from January till April 2016.
While this recent trend could make you optimistic about the trajectory of gold prices, stop and analyse the objective of allocating funds to gold. Gold is not a productive investment—it does not earn interest, rent or dividends. All you have is the expectation that over a period of time the price of gold will increase………………………………………..Full Article: Source

Why It’s Time To Buy Gold

Posted on 09 May 2016 by VRS  |  Email |Print

Gold, as an asset, is inherently volatile. Yet, the yellow metal has broadly held on to gains above the 1200 level broken over the course of this year. In the current environment, should investors buy gold?
The yellow metal is considered as a safe-haven asset, which market players can turn to during times of market or economic uncertainty. One of the most pertinent economic issues today is the possibility that the UK will exit the European Union. While the economic implications of such a decision on markets continues to be debated, the possibility of a Brexit is leading to significant worries within the business community……………………………………….Full Article: Source

China Is Laying The Foundation For The Next World Gold Standard System

Posted on 06 May 2016 by VRS  |  Email |Print

On April 19, the Shanghai Gold Fix officially began. The pricing mechanism is intended to be a replacement for the London Gold Fix, the primary price-discovery mechanism for gold bullion today. The London “bullion” market is not a market in bullion.
Rather, it is a market in “unallocated” gold, defined as an unsecured liability of banks. In short, it looks suspiciously like an exercise in paper-hanging. The London Bullion Market Association claimed 21.95 million ounces of “net” clearing per day on average in 2013, worth about $27 billion. Estimates of “gross” trading are considerably higher than this………………………………………..Full Article: Source

Investors – and Donald Trump – are loving gold. How long will the rush last?

Posted on 06 May 2016 by VRS  |  Email |Print

The gold price has soared alongside the fortunes of Donald Trump, a big fan of the precious metal. How long can the new gold rush last? Two phenomena that pundits said would almost certainly never happen have taken place this week: Donald Trump clinched the Republican presidential nomination, and the price of gold capped a 15-month rally by soaring above $1,300 an ounce.
Coincidence? Logic would suggest so. But then, this is anything but a logical market environment or presidential electoral cycle. And there are, in fact, several ways in which gold is the ultimate Trumpian investment……………………………………….Full Article: Source

Can gold’s spectacular 2016 run continue?

Posted on 06 May 2016 by VRS  |  Email |Print

After a pretty miserable few years, it seems that gold’s long bear market is finally over. Gold enjoyed its best start to a year in more than three decades. In the first quarter of 2016, it gained just over 16%. So can it continue? And what’s the best way to profit from it if it does?
Gold has been one of the best investments of 2016 so far. But one sector has outstripped even gold – the gold miners. Back at the start of December, Ed Chancellor wrote a cover story for MoneyWeek magazine suggesting that gold miners had finally hit absolute rock bottom, and that they were ripe for a fresh bull market………………………………………..Full Article: Source

Shariah Gold Standard – $2 Trillion In Assets “Could Send Price Soaring”

Posted on 06 May 2016 by VRS  |  Email |Print

The coming ‘shariah gold standard’ or shariah compliant gold could lead to a very significant source of new demand for physical gold coins and bars in the Islamic world. It is believed that this will contribute to much higher prices and gold “soaring” as some of the $2 trillion of assets held in Islamic financial institutions are allocated to the very small physical global gold market.
Fifty gram gold bars sit across a one kilo gold bar at bullion dealers Goldcore, in London, U.K., on Thursday, March 11, 2010. Gold priced in euros reached a new record on March 5, 2010 as investors, concerned that a Greek debt default may devalue the currency, purchased gold for diversification purposes………………………………………..Full Article: Source

Investing in Gold Through ETFs (Video)

Posted on 06 May 2016 by VRS  |  Email |Print

Greg King, chief executive officer at Rex Shares, discusses the price of gold, investing through ETFs and the outlook for the commodity. Last month REX launched the REX Gold Hedged S&P 500 ETF and the REX Gold Hedged FTSE Emerging Markets ETF . Both exchange-traded funds enable investors to diversify their portfolios by accessing exposure to the precious metal without reducing equity allocations.
The exchange traded funds also can help protect against the risk of a weakening U.S. dollar through exposure to the yellow metal, according to King. King speaks to Bloomberg’s Vonnie Quinn on “Bloomberg Markets.”……………………………………….Full Article: Source

Gold price to rise further, charts show, with a $1,340 upside target

Posted on 05 May 2016 by VRS  |  Email |Print

There are three key features to look out for in this breakout in the gold price, which also happens to confirm our analysis back in February. The first and most important feature on this chart is the breakout from the fan trend line pattern.
The second feature is the breakout confirmation from the Guppy Multiple Moving Average (GMMA) relationships; the long-term group has compressed and turned decisively upwards. The third feature is the way price has remained above the critical resistance level near $1,200, using it instead as support point………………………………………..Full Article: Source

Gold price at two-year high, demand to see new lows

Posted on 05 May 2016 by VRS  |  Email |Print

Gold demand in India, the world’s second-biggest user, will probably shrink in the second quarter as a surge in local prices to the highest in two years deters buying for a festival next week and weddings this month.
Purchases may slide to about 100 metric tonnes in the three months through June from 125 tonnes in the period to March and 154.8 tonnes a year earlier, said Bachhraj Bamalwa, a director with the All India Gems & Jewellery Trade Federation………………………………………..Full Article: Source

Beware Of The Fake Rally In Gold

Posted on 05 May 2016 by VRS  |  Email |Print

Everyone wants to see my head on a silver platter. Or make it a gold platter. Why? Because they think I’ve completely missed the gold rally and if I don’t tell them to get on board now, they will forever have lost their chance to get in as gold ultimately works its way to over $5,000 an ounce.
Well, sorry everyone. Gold isn’t going to $5,000 an ounce tomorrow. So let’s get things straight about the gold market right now. First things first. Gold has recently rallied up to its point of maximum resistance at the $1,306 level basis the June futures contract………………………………………..Full Article: Source

Gold Has Similar Pattern To 1999; Short-term Pressure Ahead Says Technician

Posted on 05 May 2016 by VRS  |  Email |Print

In 1999, the gold market rallied at the start of the year before settling into a range, so is history repeating itself for the metal? According to Ari Wald, head of technical analysis for Oppenheimer & Co., it just might be. ‘For the longer term trend, it is indeed reversing higher here, but the message is, tactically, now is not the time to be playing for that,’ said Wald in an interview with Kitco News.
‘Over the past few weeks, gold has rallied a lot in a short amount of time - in fact it is about 11% above the 200-day moving average along with being overbought and testing some resistance at the 2015 peak at $1,300,’ he explained. ‘It is due for a pause to refresh and with that pause, we can see downside risk, maybe to the March lows of $1,200.’……………………………………….Full Article: Source

3 Factors That Could Propel Silver Prices 270%

Posted on 05 May 2016 by VRS  |  Email |Print

Silver prices have soared roughly 27% since the start of 2016 on fears of a U.S. recession and weak global economic indicators. While most on Wall Street say fears of a recession are wildly overblown, the current price appreciation says investors are not so sure. And they are for good reason.
A raft of negative economic data continues to roll in suggesting silver prices will continue to climb in 2016. Silver is up around 27% year-to-date, near $18.00 an ounce. Trading at a 16-month high, many believe silver will run out of steam and simply trade sideways for the foreseeable future………………………………………..Full Article: Source

The Shine May Be About to Come Off Gold

Posted on 04 May 2016 by VRS  |  Email |Print

Gold’s gilded run may be about to end. The precious metal rallied past $1,300 a troy ounce for the second day in a row Tuesday, prompted by a weaker dollar and buying from speculative investors.
But with the dollar’s recent decline viewed as overdone by some analysts and the likelihood of short-term speculators cashing out of their investments, gold prices could slide lower in the next few weeks………………………………………..Full Article: Source

Jim Rickards says for gold prices will go higher as dollar weaken

Posted on 04 May 2016 by VRS  |  Email |Print

Gold prices, fresh from Monday’s 15-month high, look set for further gains as the dollar weakens, according to author and gold markets expert Jim Rickards. Spot gold hit $1,303.6 an ounce on Monday, its highest price since January 2015, and has since come off to trade around $1,295 an ounce on Tuesday morning in Asia.
But Rickards, who is the author of “The New Case for Gold,” published last month, as well as 2011 best-seller “Currency Wars: The Making of the Next Global Crisis,” said gold was “going to go a lot higher.”……………………………………….Full Article: Source

Gartman says gold is in a true bull market—and on its way to $1,500

Posted on 04 May 2016 by VRS  |  Email |Print

Gold has enjoyed a spectacular beginning to 2016, and one widely followed commodities expert believes the metal could be on the verge of going much, much higher.
“I think it’s still a bull market,” said Dennis Gartman, editor of The Gartman Letter, Monday on CNBC’s “Fast Money.” He predicts gold could finish out the year 10 to 15 percent above current levels. With gold hitting a 15-month high Monday and breaching $1,300, that would represent a price as high as nearly $1,500………………………………………..Full Article: Source

Gold may top $1 500/oz by mid-year

Posted on 04 May 2016 by VRS  |  Email |Print

Fresh off a 15-month high of $1 303.60/oz, prevailing economic conditions may well send gold prices skyrocketing in the near term. And bolster momentum in the silver price. “We’ve seen a rising trend range in dollar terms for nearly 6 months. If the current momentum continues, we could see gold over $1 500/oz by mid-year,” said John Butler, vice president and head of wealth services at GoldMoney.
Spot gold prices – up more than 22% year-to-date in dollar terms – received their most recent boost on the back of diminishing expectations of an interest rate hike by the US Federal Reserve (Fed) and the concomitant weakness in the dollar, as well as the Bank of Japan deciding against further monetary easing………………………………………..Full Article: Source

What Makes the Price of Gold Move

Posted on 04 May 2016 by VRS  |  Email |Print

The present gold bull market has drawn more attention to investing in the yellow metal. Yet, many investors don’t know much about the factors that affect the price of gold. Unlike other investments, perceived value is a major factor in the gold price.
There is a bit more to it than that, however. Here are several of the top influencers on the price of gold. Money Morning Resource Investing Specialist Peter Krauth gives readers regular insight into the “types” of money that move the price of gold. One of these is called “dumb money.”……………………………………….Full Article: Source

Harvard Professor Urges EMs To Buy Gold

Posted on 04 May 2016 by VRS  |  Email |Print

Emerging market economies need to shy away from the U.S. dollar and U.S. treasuries, and instead invest more in gold, this according to one Harvard profession.
Tuesday, in a commentary for Project Syndicate, Kenneth Rogoff, professor of Economics at the Ivey League university and former chief economist at the International Monetary Fund, recommended that emerging economies boost their gold reserves to about 10%, which would still keep them below some developed country’s gold reserves………………………………………..Full Article: Source

Silver Market Strong, but it’s Time to be Cautious

Posted on 04 May 2016 by VRS  |  Email |Print

The vertical price action currently taking place tends to indicate that we are nearing a top due to excessive speculation. Last week, July Comex Silver prices reached their highest level since January 2015, driven mostly by the Bank of Japan’s decision to hold off expanding monetary stimulus and weaker equity markets.
The dovish U.S. Federal Reserve monetary policy statement also helped support the surge in prices. The Fed kept the door open to a hike in June, but showed little sign it was in a hurry to tighten monetary policy………………………………………..Full Article: Source

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