Mon, Dec 22, 2014
A A A
Welcome preal121
RSS

Commodities Briefing - Category | Bullion/Gold more

Gold price holds above $1,200/oz as market stabilises

Posted on 04 December 2014 by VRS  |  Email |Print

The gold price drifted gently either side of $1,200 in the US on Wednesday as the breakneck volatility of the past several sessions temporally subsided. The gold price for February delivery on the Comex division of the New York Mercantile Exchange was last up $4.20 at $1,203.60 per ounce.
“In comparison to the last few days, [it is] a very quiet day in the wonderful world of precious. Gold took a breather and traded around the $1,200 level, with a bit of profit taking seen early in the day, moving it down to $1,192 briefly,” Marex Spectron’s David Govett said. “With the dollar strengthening and the stock market remaining firm, precious metals took a back seat and I suspect, with the occasional silly move, will stay that way until the figures later this week,” he added………………………………………..Full Article: Source

What’s Driving Gold Now?

Posted on 04 December 2014 by VRS  |  Email |Print

Gold enthusiasts around the world are trying to figure out what just happened in the gold market. The price action has been dramatic, and I think I can shed some fairly bright light on the situation. The general consensus is that the price of gold fell on Friday, due to anticipation of a Swiss citizen rejection of the “Save Our Gold” campaign. The Swiss vote went as anticipated, but by Monday morning, gold had soared $80, and Silver surged $2.
How can this bizarre price action by explained by the events in Switzerland? The likely answer is: It can’t. In the big picture, events in India have always been a key driver of gold prices. It appears that India is also now becoming the main short term driver of the price, and rightly so, in my professional opinion………………………………………..Full Article: Source

Don’t let gold’s rally take you for a ride

Posted on 04 December 2014 by VRS  |  Email |Print

Gold is unlikely to embark on a sustainable rally any time soon. That is the conclusion of a contrarian analysis of gold-market sentiment. Take gold’s extraordinary volatility over the past few days, with gold plunging as much as $50 on Sunday before rallying just as much on Monday. Journalists and analysts struggled to provide rationales for the market’s behavior, and largely came up short. This is a dead giveaway that the market is being held up more by hot air than by fundamentals.
Sunday’s plunge, for example, was attributed to the failure of the Swiss initiative to require the Swiss National Bank to hold 20% of its reserves in gold. But a “no” vote was largely expected, so it’s hard to see why this outcome should have caused gold to fall by so much. Likewise, there was little to explain Monday’s big rally………………………………………..Full Article: Source

Platinum market deficit seen at 885,000 oz in 2014-WPIC

Posted on 04 December 2014 by VRS  |  Email |Print

The platinum market is expected to see a shortfall of 885,000 ounces this year, a report by the World Platinum Investment Council (WPIC) estimated on Wednesday, as a strike in major producer South Africa reduced supply.
The above-ground stocks of the metal that have helped cushion prices from the impact of the tightening market are expected to have declined significantly. Platinum prices are down 11 percent this year despite a third straight yearly deficit. The WPIC, which commissioned the report from consultancy SFA (Oxford), said it sees above-ground platinum inventories, excluding exchange-traded funds, metal held by exchanges, and industry working inventories, at 2.56 million ounces at year-end………………………………………..Full Article: Source

Gold price to end 2015 at $1,250 per ounce, silver $18 – Commerzbank

Posted on 03 December 2014 by VRS  |  Email |Print

The gold price will end next year at $1,250, with the negative impact of the US interest-rate rises in the second half of the year likely to keep prices above $1,100, Commerzbank said. “We expect the gold price to remain under pressure initially in the first half of next year on the back of growing speculation about increasingly imminent interest rate hikes in the US,” the bank said.
“The gold price is likely to bottom out at the onset of the cycle of rate hikes in the second quarter,” it added. Spot gold was last around $1,200 per ounce, down significantly from a 2014 peak of $1,388 in March and up from four-year lows at $1,131.60 in November………………………………………..Full Article: Source

Citi Forecasts Average 2015 Gold Price Of $1,220/Oz, Silver $16.50/Oz

Posted on 03 December 2014 by VRS  |  Email |Print

Citi Research forecasts 2015 gold prices to average $1,220 an ounce and silver prices to average $16.50 an ounce, saying they are neutral on the prices for those precious metals. The bank says it is bullish on platinum and palladium prices, forecasting average 2015 prices of $1,350 an ounce and $870 an ounce, respectively.
All of these price forecasts are above current price levels. Gold prices fell under a host of bearish influences, from negative investor sentiment, a stronger U.S. dollar and low inflation expectations, Citi said. The metal may continue to see weaker prices, but “there are increasing reasons to think that further downside moves will be limited,” they said………………………………………..Full Article: Source

Good old-fashioned gold: how consumers and banks still rely on it

Posted on 03 December 2014 by VRS  |  Email |Print

London property and gold — the two safest places to put your money, or so the saying goes in recent years. For the past several years, owners of London property have watched with delight as the values of their homes have spiked annually well into double digits.
With gold, as has been the case for thousands of years, it has provided a tradable commodity which investors have turned to in uncertain times. It’s a safe haven, the asset of last resort. But with quality gold ore becoming increasingly hard to find, a Canadian company has ventured 125 kilometers (78 miles) into the Arctic circle to build Europe’s largest gold mine………………………………………..Full Article: Source

Gold Prices Down After Swiss Voters Nix Gold Measure

Posted on 02 December 2014 by VRS  |  Email |Print

In a poor showing for the commodities market, oil prices also reached their lowest levels since June 2009. Gold prices slid downward on Monday after Swiss voters nixed a measure to bump up the nation’s gold reserves, while oil prices also fell to a five-year low as the Organization of the Petroleum Exporting Countries (OPEC) decided to maintain crude oil production levels.
The rejected Swiss proposal, defeated by 78% of voters, would have required the Swiss National Bank to more than double its gold reserves, holding at least 20% of its assets in the precious metal, Reuters reports. The measure would have challenged the bank’s policy of capping the Swiss franc at 1.20 per euro………………………………………..Full Article: Source

Physical Gold Demand in India Looks Robust

Posted on 02 December 2014 by VRS  |  Email |Print

India imported 102 tonnes of gold between November 1 and November 15, just 48 tonnes shy of its total imports for the entire month of October. This data reveals a robust physical demand for gold in the country. Furthermore, India is looking to remove its 80/20 rule this week in order to free up gold flows into the country while eliminating distortions in the flows.
Central banks have been under pressure in Europe to account for gold held abroad. The latest news comes from France, where Governor of the Bank of France M. Christian Noyer has been asked to comprehensively audit the nation’s gold reserves. Likewise, the Netherlands repatriated some of its gold in order to restore confidence in the central bank. The increase in proprietary holding of gold by central banks is positive for global gold demand………………………………………..Full Article: Source

China holds the gold price key

Posted on 02 December 2014 by VRS  |  Email |Print

Those gold bug optimists who reckoned the likely Swiss Gold referendum ‘No’ vote had already been discounted by the markets were initially proven wrong. With some forlorn gold hopes hanging on for a surprise ‘Yes’ vote, the result was going to produce a knee-jerk reaction downwards as it will have perhaps prompted more selling from exasperated gold investors.
As the almost certainty of a ‘No’ vote became apparent, the gold price dipped quite sharply in late trading on Friday, and this morning, now the referendum result has become fact with the ‘No’ vote comfortably prevailing, it initially moved another few notches downwards, but has since made something of a strongish recovery back to the $1,170s………………………………………..Full Article: Source

Gold price to end year at $1,250-1,300/oz

Posted on 02 December 2014 by VRS  |  Email |Print

The gold price will end 2015 in a range of $1,250-1,300 per ounce as long as any US interest rate rises are modest, ETF Securities said. Higher rates look highly likely after the end of quantitative easing (QE) in the US and the reinvigoration of the economy. Rates have has been near-zero since December 2008.
The outlook for gold is especially uncertain, ETF Securities said in a note on Monday. “Ordinarily, a positive economic environment, in which some major central banks will likely raise interest rates, will be a gold negative scenario. However, there are a number of events which could drive a surprise increase in the price,” it added………………………………………..Full Article: Source

Is There No Hope For Precious Metals As Gold Falls?

Posted on 02 December 2014 by VRS  |  Email |Print

Global commodity prices continued their decline as December started. Gold dropped $25 in the Asian session to trade at 1150.50 while silver fell below the 15 level to trade at 14.922 down by 634 points. Platinum gave up $18.55 to reach 1192.75. Last week, gold prices traded lower on falling crude oil prices coupled with the strength in the dollar index.
The inflation hedge appeal of the yellow metal has been declining with falling oil prices. Holdings in the SPDR gold trust fell 2.1 tonnes to 718.82 tonnes, near six-year lows. Low volumes on account of U.S. Thanksgiving holiday (Last Thursday) and a key Swiss vote on bullion holdings kept prices stable though………………………………………..Full Article: Source

Swiss Voters Reject Increasing Gold Reserves In Referendum

Posted on 01 December 2014 by VRS  |  Email |Print

In today’s Swiss gold referendum, roughly 78% voted against expanding central bank gold reserves to 20% of central bank assets from the current 7%, according to Swiss national broadcaster SRF. The vote is a blow to the movement to “Save Our Swiss Gold” that had the hopes of moving Switzerland back toward a gold standard which the country left in 1999.
Since then, there has been no requirement for the country’s currency to be backed by gold and as a result central bank gold reserves have waned considerably. The referendum results are not surprising given earlier polls had predicted the “no” camp would win by a large margin, however the results have mitigated concerns that increased demand from the Swiss National Bank (SNB) could cause a spike in gold prices………………………………………..Full Article: Source

All You Need To Know About The Swiss Gold Initiative

Posted on 01 December 2014 by VRS  |  Email |Print

On Sunday the Swiss people go to the polls to vote on the gold initiative. There are many traders in Swiss positions who are going to be watching the results closely. Here’s a breakdown of what is happening, likely to happen and what the market may do.
First to the basics and what the initiative actually is. The Swiss People’s Party wants to “Save Swiss Gold” to give more credibility to the SNB’s monetary policy and the Swiss Franc. The initiative would require that the SNB; Does not sell anymore of it’s gold reserves. Must not let gold reserves fall below 20%. Must hold all gold reserves in Switzerland……………………………………….Full Article: Source

Gold is freely importable again, but ignore it

Posted on 01 December 2014 by VRS  |  Email |Print

The removal of the 80:20 rule comes with the implicit admission that government regulation is powerless to modify gold consumption patterns. Last week, the government removed all restrictions on the import of gold. Along with this, government officials were quoted in news stories saying that the removal of curbs would do away with distortions in gold import.
As things stood before the relaxation, final gold consumption in India was said to be at around the same level it was before the restrictions began. Even though the curbs helped control the apparent current account deficit, it had no impact at all on the ultimate source of the gold problem, which is the actual gold consumption. All it appeared to have done was to create problems for gold exporters………………………………………..Full Article: Source

Swiss vote provokes ‘6,000-year gold bubble’ attack

Posted on 28 November 2014 by VRS  |  Email |Print

‘Save Our Swiss Gold’ referendum is a primordial scream against a world of quantitative easing but would paralyze the Swiss National bank. Five million Swiss voters will decide on Sunday whether to force the Swiss National Bank to repatriate all its gold from vaults in Britain and Canada, boost its holdings of bullion to 20pc of foreign reserves and then keep the metal forever.
The “Save Our Swiss Gold” referendum is a valiant attempt by Switzerland’s army of gold bugs - and the populist Swiss People’s party (SVP) – to lead the world back to the halcyon days of the international Gold Standard. It is a primordial scream against a quantitative easing and money creation a l’outrance by the leading central banks……………………………………Full Article: Source

Gold is a 6,000-year bubble - Citi

Posted on 28 November 2014 by VRS  |  Email |Print

Citi’s chief economist Willem Buiter has trained his mental shotgun at goldbugs everywhere, and unloaded both barrels. In a research piece published late yesterday, the Anglo-Dutch economist argued that the metal was not so precious and merely a “six thousand year-old bubble” with hardly any real value. Mr Buiter therefore compares gold to the “intrinsically useless” stone money of the Isle of Yap.
Gold is unlike any other commodity. The only things that come close to it are Bitcoin and similar digital peer-to-peer currencies. Gold is costly to extract from the earth and to refine to a reasonable degree of purity……………………………………Full Article: Source

Ed Moy: World entering era of greater gold transparency

Posted on 28 November 2014 by VRS  |  Email |Print

Edmund C Moy, former US Mint Director and senior aide to President George W Bush, recently joined gold-backed IRA provider Fortress Gold Group as chief strategist. In this interview with MINING.com, Moy discusses growing demand from Asia, paper versus physical markets in gold, the changing central bank landscape and argues that the clamor from citizens for greater transparency about official gold holdings would only grow.
Moy says three-four years ago in the aftermath of the financial crisis, the paper markets in gold and the physical bullion market began to disconnect. “When the gold price hit $1,900 an ounce in 2011, it really should have been at $1,600. It will probably overshoot on the downside too. Paper markets are always way behind or way ahead,” says Moy……………………………………Full Article: Source

Gold rush in Europe as concern over money printing rises

Posted on 28 November 2014 by VRS  |  Email |Print

Many European countries are now moving to repatriate their gold holdings from storage abroad. They are also looking to increase the proportion of gold in their international reserves to assure currency and financial stability.
This move is significant, as it reflects growing concern that the unprecedented money printing of major central banks could debase fiat currencies, trigger runaway inflation and cause another financial crisis - perhaps even bigger than that of 2008. In spite of surging demand for the yellow metal, the gold price continues to struggle at under $1,200 per ounce……………………………………Full Article: Source

A copper bullion story

Posted on 28 November 2014 by VRS  |  Email |Print

A tip of the hat to John Kemp for drawing our attention to the latest from Reuters’ base-metals’ reporter Andy Home, who provides some much needed perspective on the nature of cartels in commodities. Namely, the fact they’re probably endemic.
Case in point, in December 2010 when the copper market was booming, LME reports showed that a single entity controlled over half of all eligible LME stocks, leading to speculation that someone was squeezing the market……………………………………Full Article: Source

Citi Chief Economist: Bitcoin is Closest Commodity to Gold

Posted on 28 November 2014 by VRS  |  Email |Print

Gold is a commodity like bitcoin and other cryptocurrencies, Citi’s chief economist argues in a research note published yesterday, ahead of a Swiss vote that could cause the global gold price to spike.
Switzerland will hold a popular referendum on Sunday called ‘Save Our Swiss Gold’. If passed, it would mandate the Swiss National Bank to hold a fifth of its assets in gold and to repatriate its holdings from England and Canada. The bank would also be banned from selling its gold in future. Gold prices have dropped as markets await the referendum. If the referendum is passed, gold prices will surge, although this is unlikely, CNBC reported……………………………………Full Article: Source

Gold price eyed as investors await Swiss vote

Posted on 27 November 2014 by VRS  |  Email |Print

Gold prices slipped on Wednesday from this week’s highs, as the market awaited a Swiss referendum on central bank gold reserves. On November 30, voters in Switzerland will head to the polls to decide whether the Swiss National Bank (SNB) should refrain from selling any more gold and should boost its gold holdings to 20 percent, up from current levels of 7 percent.
The ultra-conservative Swiss People’s party proposed the initiative, called “Save Our Swiss Gold”, with the intention of boosting the security and independence of Switzerland in times of uncertainty…………………………………..Full Article: Source

Gold rangebound below $1,200/oz as Asia buying evaporates

Posted on 27 November 2014 by VRS  |  Email |Print

Gold eased slightly on Wednesday then steadied at just under $1,200 an ounce for another rangebound session as Asian overnight buying evaporated amid low volumes ahead of the US Thanksgiving holiday and a key Swiss vote on bullion holdings.
The US dollar retreated after data suggested US economic growth might be slowing in the final quarter of 2014. Oil was pulled lower after OPEC increased signals that it would hold off making any major production cuts this week…………………………………..Full Article: Source

Silver price outperforming gold – PGM’s rise

Posted on 27 November 2014 by VRS  |  Email |Print

Lack of agreement by key OPEC members yesterday to pledge cutbacks ahead of Thursday OPEC meeting sent oil prices lower and that led to an intraday sell-off in bullion, but prices recovered by the close, ending up 0.7 percent on average, with platinum up the most with a 1.2 percent gain in price to $1,220 and gold finished up 0.4 percent at $1,201.40.
This morning - Precious metals are mixed with bullion prices off 0.1 percent, with the gold price at $1,199.80 while the PGMs are up 0.3 percent. Interestingly silver has been outperforming gold as silver has been extending gains as seen by the weaker gold/silver ratio – this bodes well for bullion generally…………………………………..Full Article: Source

The 2015 Metals Outlook Series: Gold

Posted on 27 November 2014 by VRS  |  Email |Print

Gold has peaked, but the current price schizophrenia of spikes and troughs that have been experienced over the last six months will soon be at an end. However there is still likely to be pain for a number of unproductive gold miners as the commodity price goes through a rationalisation phase operations with high costs per ounce are likely to fall as the market becomes tighter.
But how did we get to this point, and how did the great decade long Bull Run get to its current state, and where will it head in 2015? The rise and fall of the gold market did not happen overnight; and it is not the first time this market has moved this frenetically either…………………………………..Full Article: Source

HSBC, Goldman rigged platinum prices

Posted on 27 November 2014 by VRS  |  Email |Print

Goldman Sachs and HSBC were sued in New York over claims they conspired for eight years to manipulate prices for the precious metals platinum and palladium in what plaintiffs’ lawyers say is the first class-action lawsuit of its kind in the US.
Standard Bank and a metals unit of BASF, the world’s largest chemical company, were also sued. The four companies used inside information about client purchases and sale orders to profit from price movements for the metals used in products ranging from jewellry to cars, according to a complaint filed yesterday in Manhattan federal court…………………………………..Full Article: Source

Gold prices may surge if Swiss vote on reserves passes

Posted on 26 November 2014 by VRS  |  Email |Print

Global gold prices may surge in the coming week if Swiss voters approve a controversial measure that would force their country’s central bank to keep at least a fifth of its assets in gold. If the referendum Sunday passes and the Swiss government is forced to start beefing up its reserves, the price of gold could jump to more than $1,350 an ounce — an increase of 18%, Bank of America predicts.
Spearheaded by the right-wing Swiss People’s Party, the so-called Save Our Gold law would compel the Swiss National Bank, the country’s central bank, to increase its gold reserves from the current 7.7% to 20% within five years……………………………Full Article: Source

6 reasons to be bullish on gold

Posted on 26 November 2014 by VRS  |  Email |Print

Despite gold prices rising as high as US$1,380 in mid-March, the precious metal hasn’t exactly been a good place to be in 2014. After starting the year around US$1,200, spot prices are essentially flat. However, here are some reasons to be optimistic about gold’s prospects in 2015, according to analysts at RBC Capital Markets.
ETF holdings: Exchange-traded-fund liquidations are a major culprit for the weakness in gold prices as an estimated 33 million ounces have been sold in the past two years. That brought gold ETF holdings to a level not seen since prices were near US$1,000 an ounce in 2009. However, the pace of sales has slowed recently……………………………Full Article: Source

Will Swiss Politics Cause Gold Price to Rally?

Posted on 26 November 2014 by VRS  |  Email |Print

Referendums are a way for democracies to put an issue directly to the electorate to decide. The issue might be a constitutional amendment; a vote on independence; the legalisation of marijuana; or the legality of bear baiting. In the rarified world of central banking, a Swiss referendum on November 30 mandating the country’s central bank to hold a large portion of its assets in gold captured my attention.
In the post-Great Crisis age, central banks are the apex player in economic and financial matters. Consequently, an effort to materially limit a central bank’s degree of freedom is a noteworthy event…………………………..Full Article: Source

Why Gold Stocks Remain a Good Bet?

Posted on 26 November 2014 by VRS  |  Email |Print

When gold and silver producer McEwen Mining released its Q3 results, Founder and Chief Owner Rob McEwen was candid, describing performance at the company’s El Gallo 1 mine as “nothing short of awful” and quipping, “[w]hat an incredibly ugly market and share price.” That openness continued following the release, with the company acknowledging after its conference call on the results that given today’s tough market, shareholders were due a broader conversation.
With that in mind, McEwen scheduled a second conference call, billing it as an outlet for the discussion of “the current gold price, market conditions and the mining industry.” Held on November 21, it definitely provided some food for thought, not only for McEwen shareholders, but for gold bugs in general……………………………Full Article: Source

Gold holds around $1,200/oz

Posted on 26 November 2014 by VRS  |  Email |Print

Gold rose to around $1,200 an ounce on Tuesday as the dollar was steady ahead of US economic data, and the market looked to forthcoming Swiss referendum on central bank gold reserves for more trading cues. A right-wing Swiss party called the November 30 vote, aiming to prevent the Swiss National Bank from offloading its gold holdings and obliging it to hold at least 20% of its assets in gold, compared with 8% last month.
While opinion polls showed that support among Swiss voters for the initiative was fading, a ‘yes’ vote could boost prices in the longer term, traders said. The spot gold price fell to a four-and-a-half-year low earlier this month……………………………Full Article: Source

Has the Silver Correction Hit Bottom?

Posted on 26 November 2014 by VRS  |  Email |Print

It has been a tough year for investors in silver with the lustrous white metal plunging 17% over that period. This was on the back of recent weakness across all precious metals as the U.S. dollar continued to strengthen on positive economic data coming out of the U.S.
Of even greater concern for investors, are claims silver still has further to fall, with some analysts predicting further weakness among precious metals because of a stronger U.S. economy which cause the U.S. dollar to continue appreciating in value. But in recent days silver has rebounded – after hitting its lowest point in almost five years – to be trading at over $16 per ounce and I believe there is further gains ahead with the silver having already bottomed……………………………Full Article: Source

Why Gold Price is Headed Much Higher

Posted on 25 November 2014 by VRS  |  Email |Print

What really drives the price of gold? Some say it’s a fear gauge. Others prefer to look at the demand coming from the Indian wedding season. But the silliest of all conclusions to reach is that the dollar price of gold should be determined solely by its value vis-à-vis another fiat currency.
The truth is the primary driver of gold is the intrinsic value of the dollar itself, not its value on the Dollar Index (DXY). The intrinsic value of the dollar can be determined by the level of real interest rates. Real interest rates are calculated by subtracting the rate of inflation from a country’s “risk free” sovereign yield. Right now the level of real interest rates in the U.S. is a negative 1.55%………………………………….Full Article:

Is The Gold Turning The Corner?

Posted on 25 November 2014 by VRS  |  Email |Print

Gold miners’ costs are mostly higher than current spot prices, increasing the likelihood of writedowns next year. Senior gold miner gold cash costs surged 226% to $707 an ounce, according to a study. Shanghai Gold Exchange deliveries last week were up 20% to 54.2 tonnes.
All over the world, gold has emotional, cultural and financial value, which supports demand across generations. Gold is fashioned into jewelry and used to manage risk in financial portfolios and protect the wealth of nations………………………………….Full Article: Source

Gold may see ‘decent recovery’ to $1,400

Posted on 25 November 2014 by VRS  |  Email |Print

Gold futures wavered around the break-even mark Monday, largely holding on to Friday’s gains that were sparked by central-bank news from China and Europe. Despite gold’s lackluster moves over the past several months, at least one analyst speculated that the yellow precious metal may recover to $1,400 an ounce by 2016.
December gold futures were last up 20 cents, or less than 0.1%, to $1,197.90 an ounce, while December silver edged up a penny, also less than 0.1%, to $16.41 an ounce………………………………….Full Article: Source

Hedge funds catching up to gold, silver price rally

Posted on 25 November 2014 by VRS  |  Email |Print

On Monday gold futures again flirted with the psychologically important $1,200 an ounce level, consolidating at three-week highs. In late afternoon trade on the Comex division of the New York Mercantile Exchange gold for February delivery – the most active contract – was changing hands for $1,198.80 an ounce after bouncing off resistance at $1,208.
March 2015 silver contracts gained slightly to trade at $16.50 an ounce on Monday, up just over a dollar since hitting 55-month lows November 6. Gold is now up 6% since touching a four-year low little over two weeks ago and it appears large investors are now beginning to catch up to the rally………………………………….Full Article: Source

Swiss Central Bank Chief Warns on Impact of Gold Vote

Posted on 24 November 2014 by VRS  |  Email |Print

The head of the Swiss National Bank reiterated concerns that a popular vote on requiring the central bank to keep a fifth of its assets in gold would hinder its ability to conduct monetary policy.
In text of a speech to be delivered Sunday, SNB Chairman Thomas Jordan said the initiative, known as “Save Our Swiss Gold,” would limit the central bank’s “room for maneuver.” That would make it harder for the bank to intervene during crises and fulfill its mandate of price stability………………………………..Full Article: Source

Swiss to Vote on Central Bank’s Gold

Posted on 24 November 2014 by VRS  |  Email |Print

Swiss voters will decide Nov. 30 on an initiative that would force the country’s central bank to more than double its gold holdings, a prospect that has rattled markets and drawn opposition from the government, lawmakers and business groups.
The “Save Our Swiss Gold” initiative would require the Swiss National Bank to hold a fifth of its assets in gold within five years. It would also prohibit the bank from selling any of its gold in the future and require that Swiss gold held overseas be repatriated…………………………………Full Article: Source

Why Gold Should Rise And Exceed Previous Highs

Posted on 24 November 2014 by VRS  |  Email |Print

Are Russia and Europe buying more Gold? Will the Swiss vote ‘yes’ in its gold referendum? Is there a chance for QE4? Peter Schiff is on Kitco News to comment on some of the most recent headlines surrounding the gold market and also to share his thoughts on the U.S. economy. The Euro Pacific CEO says the U.S. recovery isn’t real and adds that the dollar is only strong because all other currencies are weak.
The dollar isn’t really strong, it’s just that temporarily other currencies are weaker. I think people are worried about the yen, they’re worried about the euro, and so the dollar wins by default. They say, ‘Well it’s the cleanest shirt in the hamper.’ But it’s actually not. It’s actually the dirtiest shirt in there, people just don’t appreciate that yet. It’s only because the euphoric effects of our last round of QE haven’t worn off yet…………………………………Full Article: Source

Gold Prices Anticipated to Increase Next Week

Posted on 24 November 2014 by VRS  |  Email |Print

Don’t call it a comeback. Participants in a recent survey believe gold prices are positioned to make a comeback next week as prices are expected to rise. Out of 36 participants, 14 see gold prices going up, while six see the precious metal to decline and three believe prices will remain unchanged, according to the Kitco News Gold Survey.
Participants included bullion dealers, investment banks, future traders and technical chart analysts. On Friday, Comex December gold was up about $15 an ounce for the week as a stronger dollar and rising open interest in the futures market continue. Gold has finally reached the all-important $1,200 an ounce level…………………………………Full Article: Source

Gold rally gathers momentum

Posted on 24 November 2014 by VRS  |  Email |Print

China’s surprise rate cut helped the yellow metal breach the $1,200 mark. Gold prices rallied last week and closed higher for the third consecutive week. The surprise rate cut announcement from China helped the yellow metal breach the psychological $1,200 per ounce mark last week.
All through the week, spot gold prices were range-bound between $1,175 and $1,205. China’s rate cut boosted sentiment and pushed gold prices as high as $1,207 before closing at $1,201.55, up 1.1 per cent for the week…………………………………Full Article: Source

How Long And How Much Can Silver Rally?

Posted on 24 November 2014 by VRS  |  Email |Print

November 5th likely marked a turning point for silver. My working assumption is that spot silver and the iShares Silver Trust made a significant bottom on November 5th. Since then, silver has rallied over 7%. I believe it was a significant bottom due to several reasons:
Silver mining stocks have significantly outperformed silver since then. SIL closed at $8.23 on November 5th and closed above $10 on Friday, which is a gain of over 21%. Usually, when silver is in rally mode, silver miners will outperform. Investors become more optimistic and take on more risk by buying the miners…………………………………Full Article: Source

Buy gold on dips to $1,175-78/oz

Posted on 21 November 2014 by VRS  |  Email |Print

Comex gold futures were higher on Thursday but limited by dollar strength after Federal Reserve minutes suggested the United States is still likely to raise interest rates next year. Gold also fell sharply on Wednesday after a poll showed weaker support among Swiss voters for a referendum proposal that would force the central bank to boost its gold reserves. Selling by gold funds resumed after a brief pause this week.
Comex gold futures moved perfectly in line with expectations. As anticipated, favoured view initially expects a rebound to $1,185-90 an ounce levels. Prices have once again tested the psychological resistance at $1,200. However, if it fails to follow-through higher as cautioned earlier, could see another round of selling which could take prices lower to recent lows or even lower. Momentum in the short-term picture looks favourable for a push higher towards $1,235-40 levels………………………………….Full Article: Source

Gold rises as price drop tempts physical buyers

Posted on 21 November 2014 by VRS  |  Email |Print

Gold rose on Thursday on data showing rising U.S. inflation, and after the previous day’s 1-percent drop triggered renewed physical interest by price-sensitive Asian buyers. Bullion investors focused on U.S. Labor Department data which showed underlying inflation pressures rose in October, even though that also bolstered expectations of a mid-2015 interest rate hike from the Federal Reserve.
The gold market also ignored other data that showed a strengthening U.S. economy, including rising existing home sales and lower weekly jobless claims………………………………….Full Article: Source

Gold price stuck under $1,200/oz as FOMC fail to surprise

Posted on 21 November 2014 by VRS  |  Email |Print

The gold price was stuck under $1,200 per ounce during Thursday morning sessions, as the FOMC minutes released yesterday failed to surprise or ignite the market. The spot gold price was last at $1,185.20/1,186 per ounce, up $3.40 on the previous day’s close.
“After gradually rising from rather depressed levels since the beginning of November, prices are finally approaching the psychologically important $1,200 level. The market tested this level several times on Wednesday but failed to break decisively higher,” said Credit Suisse………………………………….Full Article: Source

Gold extends losses as Swiss vote concerns weigh

Posted on 21 November 2014 by VRS  |  Email |Print

Gold prices extended losses for a second session Thursday, continuing to feel pressure from news that a proposal which could require the Swiss central bank to ramp up its holdings in bullion is losing support.
Gold for December delivery fell $3 to settle at $1,190.90 an ounce, reducing an earlier loss that saw it down as much as $16. December silver was off 16 cents to $16.14 an ounce. When interest rates rise, demand for gold weakens since it does not pay interest………………………………….Full Article: Source

Investors maintain interest in gold

Posted on 20 November 2014 by VRS  |  Email |Print

A precipitous fall in the price of gold to a four-year low has done little to damage sentiment to the asset class as investors have gone bargain hunting. The precious metal has been caught up in the general decline in commodity prices in recent months, dropping below $1,200 (£766) per troy ounce, after having traded at values closer to $1,300 for most of this year.
But the drop in the price of gold has seemingly left investors undeterred and data shows that both sentiment to the asset class is holding up well and inflows have started to pick up into gold exchange-traded funds (ETF)………………………………Full Article:

Gold Price Drops $20 on Swiss Gold Vote “No” Opinion Poll

Posted on 20 November 2014 by VRS  |  Email |Print

Gold Prices sank 1.7% late in London trade Wednesday, erasing most of the last week’s gain as the latest opinion poll of the upcoming Swiss referendum put the “Yes” camp well short of a majority.
Prompted by a petition under Switzerland’s “direct democracy” rules, the referendum will on Sunday 30 November ask voters whether the country’s central bank should boost its gold holdings to 20% of reserves from the current 8%. The Swiss National Bank could then neither sell gold in future, nor store any of its holdings – likely swollen from 1040 tonnes today to nearer 2,500 or more – outside the country………………………………Full Article: Source

The ECB’s gold buying idea is a non-starter

Posted on 20 November 2014 by VRS  |  Email |Print

Bullion bulls, desperate for positive news amid prevailing negative sentiment on the gold market, latched onto pronouncements by Yves Mersch, member of the ECB’s executive board, earlier this week. Mensch said the European Central Bank may “theoretically” look at purchasing gold, equities and exchange-traded funds as part of a quantitative easing program as it tries to find ways to stoke inflation and stimulate economic growth.
The economic bloc only just escaped tilting back into recession during the third quarter and price inflation has been well below the 2% target for a considerable time………………………………Full Article: Source

India mulling stricter control on gold imports

Posted on 20 November 2014 by VRS  |  Email |Print

The Indian government is considering a further crackdown on gold imports, as New Delhi tries to control the country’s yawning trade deficit. Officials from the ministry of finance and the central bank have met in the past week to discuss the current restrictions on gold imports, reports Avantika Chilkoti.
“They have not taken the final decision so far,” said D.S. Malik at the ministry of finance. The move comes as imports of the yellow metal begin to tick up once more. Official data released this week show gold imports reached 106.3 tonnes, or $4.2bn, this October, almost four times the shipments in the same period a year earlier………………………………Full Article: Source

banner
banner
December 2014
S M T W T F S
« Nov    
 123456
78910111213
14151617181920
21222324252627
28293031