Gold Shines Most in September on Seasonal Buys: Bloomberg Chart of
Day
BLOOMBERG CHART OF THE DAY - September Sees 3% Gains Over 20 Years
Gold investors hurting from prices within 1% of a two-month low can find
solace from the historical record and research and showing gold performs best
in September.
The BLOOMBERG
CHART OF THE DAY shows bullion averaged gains of 3% each September over
the past 20 years, beating next best month November, when prices rose an
average 1.8% according to Bloomberg based on a market update by GoldCore. We
covered gold’s seasonality and gold’s best performing months here.
Buying increases with India’s festival period, which runs from late August
to October and is followed by the wedding season. At these times, bullion is
bought for part of the bridal trousseau or in jewelry and bar form as gifts
from relatives.
Chinese purchases may also increase toward year-end, before the country’s
Lunar New Year celebration in February. China replaced India as the
largest gold buyer in 2013.
“Indian jewelers and dealers will be stocking up in the coming weeks, so
it should affect prices,” said Mark O’Byrne, a director at brokerage GoldCore
Ltd. in Dublin.
“A lot of traders are aware of this trend towards seasonal strength, so
that may contribute to higher prices. They tend to buy and that creates
momentum.”
See Gold Shines Most in September on Seasonal
Buys: Bloomberg Chart of Day here
See Gold’s Sweet Spot - Strongest Months Are August,
September, November And January here
MARKET UPDATE
Today’s AM fix was USD 1,285.00, EUR 974.96 and GBP 775.40 ounce.
Yesterday’s AM fix was USD 1,286.50, EUR 974.77 and GBP 775.79 per ounce.
Gold climbed $6.20 or 0.49% to $1,282.40 yesterday and silver rose $0.03
or 0.15% to $19.40 per ounce yesterday. Gold
in Singapore was virtually unchanged overnight but has ticked up
marginally in London trading.
Gold in U.S. Dollars - 2 Years (Thomson Reuters)
Silver for immediate delivery rose 0.4% to $19.53 an ounce. Spot platinum
rose 0.8% to $1,422 an ounce. Palladium was unchanged at $891 an ounce -
remaining near record 13 year nominal highs.
Gold is now trading above its 200 moving average of $1284, and the gold
price remains relatively strong despite a stronger dollar, rallying equity
market indexes, and a relative easing of geopolitical tensions.
The gold/silver ratio is currently 66.10, near its one year high showing
silver remaining very good value versus gold.
Receive our award winning research here
