Bullion Back to Level Before Jump & Later Slump

IMG Auteur
Published : November 30th, 2012
357 words - Reading time : 0 - 1 minutes
( 0 vote, 0/5 )
Print article
  Article Comments Comment this article Rating All Articles  
0
Send
0
comment
Our Newsletter...
Category : Gold and Silver

 

 

 

 

Gold prices rose back to $1,730 per ounce in early London trade on Friday – the same level seen just before last week's late jump and subsequent 2.0% sell-off on Wednesday.


Silver touched a new eight-week high just shy of $34.40 per ounce, while the broader commodities market ticked lower.


Major-government debt prices were flat. So too were European stock markets.


New data today showed euro-zone unemployment hitting a post-unification record of 11.7%.


The German Bundestag voted 473 to 100 to approve the latest €44 billion aid to Greece.


"[Gold demand from] central banks could help the price, specifically South American banks," says one London trader in a note


"But that's demand for the long run, and our days are made of shorter-term decisions."


Latest data from the US Mint showed a strong rise in sales of gold coins to retail dealers in late November.


Holdings in exchange-traded trust products (gold ETFs) rose globally to a new record high of 2,619.4 tonnes according to Bloomberg.


"[That's] proof that gold remains in high demand as a store of value and a safe haven despite all the price fluctuations," says this morning's note from Commerzbank in Frankfurt.


"My average [gold price] forecast for 2013 is $1,920," says David Jollie at Mitsui, the Japanese trading conglomerate. He was the winner in 2011 of the London Bullion Market Association's silver forecast.


"We expect investment demand to remain robust in China," adds the latest monthly report from Standard Bank's precious metals analysts here in London.


"The reasons for the expected rise in gold investment demand in China are broad-based and, we believe, very similar to those in many other countries...substantial monetary stimulus and low or negative real interest rates."


Speaking today to Reuters, Marcus Grubb, director for investment at market-development organization the World Gold Council, said "There's evidence already that the Chinese economy is bottoming out, and beginning to recover again.


"[Gold will] have strength into Q1 next year on Chinese New Year," Grubb added, forecasting a 10% rise in 2013 gold demand from this year's likely 800-tonne total.


"I think you'll see China perform strongly in 2013 as the economy recovers."



 

 

Data and Statistics for these countries : China | Greece | All
Gold and Silver Prices for these countries : China | Greece | All
<< Previous article
Rate : Average note :0 (0 vote)
>> Next article
Adrian Ash is head of research at BullionVault.com, the fastest growing gold bullion service online. Formerly head of editorial at Fleet Street Publications Ltd – the UK's leading publishers of investment advice for private investors – he is also City correspondent for The Daily Reckoning in London, and a regular contributor to MoneyWeek magazine.
WebsiteSubscribe to his services
Comments closed
Latest comment posted for this article
Be the first to comment
Add your comment
Top articles
Latest Comments
Predicting The Next Crisis, Programming Behavior: “The Ability To T...
18 JanS W.
Excellent article with a small touch of healthy paranoia. Good idea, 'leave the phone at home sometimes' Go smell the roses !
Racism-O-Rama
18 JanS W.
Fancy specialising in race and gender studies ! And then do exactly what? I suspect, write papers ad infinitum that hardly anyone would read.
Who Moved My Xanax?
17 JanThemis0
I actually agree with a lot of what Trump says while deploring the tone and his lack of judgment in making such remarks publically while in office.
Socialist Dystopia: Starving Venezuelans Loot As Runaway Inflation ...
17 JanThemis
There is a 19th century English word that is particularly appropriate in this instance - "kakistocracy", i.e. government by the worst or least qual...
Who Moved My Xanax?
15 JanMr. Gnawbone1
It is an exploitation of the ignorant and uninformed population, but that is what happens when they pay attention to meaningless information and ...
Racism-O-Rama
15 JanMr. Gnawbone1
It sounds racist, so it has to be. Overton Bubble at work, the faculty were programed to respond as if to a Pavlovian Bell. There is no way to ch...
Racism-O-Rama
16 Jandennyc3
Ah, yes, black welfare recipients receiving our hard earned and easily spent tax dollars and providing us nothing save their lives for our investme...
Racism-O-Rama
15 JanDoom2
It's not just the English that is considered RACIST, it's also mathematics, and a wide range of other things: http://professorconfess.blogspot...
Most commented articlesFavoritesMore...
World PM Newsflow
ALL
GOLD
SILVER
PGM & DIAMONDS
OIL & GAS
OTHER METALS
Take advantage of rising gold stocks
  • Subscribe to our weekly mining market briefing.
  • Receive our research reports on junior mining companies
    with the strongest potential
  • Free service, your email is safe
  • Limited offer, register now !
Go to website.