The premium on gold bars
is now at a 2-year high.
Gold has continued to rise after the recovery before the close in New
York and was Fixed at $1,381.00 €1,067.65 and stands at $1,383 before
New York’s opening. Physical
demand for gold will be the theme for 2011 we believe as the darkening
financial and monetary clouds darken, even in the face of greater growth
worldwide. The euro has
fallen through the $1.30 level and is staggering to lower levels. With both the dollar and the
euro falling, we may be entering a period where the euro’s fall will
accelerate ahead of that of the U.S. dollar.
We keep looking for real and potentially
effective measures to reform the monetary system, but we can’t find
them. The up-coming meeting
between Presidents Sarkozy and Obama may have the
intention of monetary reform, but it will take a meeting and cooperation of
the heads of the global heads of state and central banks to hammer out
reforms that will benefit the globe not just some of the globe’s
interested parties. Even a
plan among the developed world would be inadequate, particularly in view of
China being the world’s largest economy by 2020 and likely then having
the world’s most important currency then.
Apart from covering the gold and silver markets Gold Forecaster and Silver
Forecaster are structured in a way that gives perspective to
macro-economic factors from oil to currencies covering the pertinent global
gold markets that directly affect the gold price and some that simply
influence it. It is a
“must-read” for all who want to understand why the gold
price is moving as it is and why.
It also aims to help you understand why currencies and today’s
national economic problems are influencing the global economy and the
precious metal prices [we cover platinum in the Silver Forecaster too]. Subscribe at www.GoldForecaster.com or for silver at www.SilverForecaster.com].
Gold - Very
price this morning is strong, but may struggle to keep that strength today in
New York today.
silver price this morning is strong, but may struggle to keep that strength
today in New York today.
Some believe that U.S. gold investors intend to slowly move away from
gold. When we look at the
fall in gold E.T.F.s it may look as though this is true, but we do not
believe that to be so. For
a moment let’s suppose it is true. We are watching that gold move
from the U.S. overseas to both Europe and the rest of the world quickly and
with little impact on the gold price. Should U.S. investors deem it
prudent to sell their U.S. held gold and buy physical gold to be held outside
the States they would be following the growing pattern set for decades by the
emerging world. It’s
all a case of how much you trust the developed world’s money systems. The emerging world
Just take a look at the change in the level of respect for bankers in
the last few years. And
banks are the veins and arteries of everybody’s financial world. Is it
any wonder that investors want to hold an investment outside the monetary
system? Prudence demands
investors do just that. We are issuing a series on
“The Financial Earthquake”
that lies ahead in the years to come, in our newsletters. We suggest you subscribe to the Gold Forecaster and Silver Forecaster where you can read these. It is there that we will we will
detail all the factors that will join to jeopardize the global economic
landscape in 2011, keep you in touch with their progress and give you our
forecasts for 2011.
Please subscribe to www.GoldForecaster.com for the entire