|
Today's AM fix was USD 1,593.00, EUR 1,264.79, and GBP
1,023.45 per ounce.
Friday’s AM fix was USD 1,576.00, EUR 1,264.34, and GBP 1,021.72 per
ounce.
Silver is trading at $28.67/oz,
€22.92/oz and £18.52/oz. Platinum is
trading at $1,448.00/oz, palladium at $618.00/oz and rhodium at $1,200/oz.
Gold rose $3.00 or 0.19% on Friday in New York and
closed at $1,594.60/oz. Gold traded sideways in Asia and is hovering above
$1,590 in a narrow range in Europe this morning.
 
Spanish Prime Minister, Mariano Rajoy,
watches Euro 2012 group C match between Spain & Italy- Photograph: Jasper
Juinen/ Getty Images (Gdansk, Poland)
Gold climbed on Monday, on news Saturday that Eurozone
finance ministers will help bailout Spain’s banks’ lending 100
billion euros ($125 billion). This helped strengthen the euro and riskier assets,
and hurt the dollar.
This action drove US gold futures up 1.1% to $1,609.30
for August delivery. It saw money managers increase their US gold futures up
27% to 98,426 contracts in the week ended Jun 5th, the biggest jump since
September 2009. Silver longs also climbed up 1/3 to 6,549 contracts from
4,912 the previous week. Spot silver reached a daily high of nearly 2% to
$29, before edging down to $28.89.
The loan to Spain will actually bring the grand total
for bank bailouts to $600 billion when Ireland, Portugal and Greece are
added.
EU politicians are again attempting to portray Spain's
€100 billion 'bailout' as a victory.
It is nothing more than another short term misguided
panacea and a mere sticking plaster on the gaping terminal hole as only the
Eurozone debt crisis could.
“Money printing on this scale has only ever been
good for precious metal prices by historical precedent. The bank bailouts are
an example of money creation at the source with banks able to lend more
against this new capital injection and sterilising
bad debts,” comments Peter Cooper.
Risk has again been shifted from insolvent banks to
increasingly insolvent sovereigns. While equities have rallied, the robust
gold price is an indication that market participants remain dubious.
For breaking
news and commentary on financial markets and gold, follow us on Twitter.
NEWS
Gold up after Spain deal; outpaced by other metals
- Reuters
Gold-Investment
Demand In China To Advance 10%, ICBC Says - Bloomberg
Gold firms as Spain deal weighs on dollar
- Reuters
COMMENTARY
Focus Shifts to Greece After Spain Secures Bank
Bailout – The New York Times
Gold nears $1600-level on Spain rescue
– MarketWatch
Farage On The Spanish Bailout: "A Reinforcement Of
Failure" – Zero Hedge
$125bn Spanish bank bailout sets gold up for $2,000
and silver $60 this autumn
Mark
O’Byrne
Goldcore
|