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Today’s AM fix was USD 1,763.75, EUR 1,369.80,
and GBP 1,089.07 per ounce.
Yesterday’s AM fix was USD 1,766.75, EUR 1,369.36 and GBP 1,088.37 per
ounce.
Silver is trading at $33.79/oz,
€26.41/oz and £20.99/oz. Platinum is
trading at $1,630.00/oz, palladium at $627.10/oz and rhodium at $1,075/oz.
Gold fell $3.10 or 0.18% in New York yesterday and
closed at $1,761.40. Silver rose to $34.47 in early New York trade then fell
off and finished with a loss of 0.71%.
Gold continues to eke out gradual gains in all
currencies. It looks set for the best quarterly gain in more than two years,
as central banks and investors diversify into gold to hedge against the
prospect of weaker currencies and slowing growth.
Euro gold hovering near record highs at €1,375/oz shows the eurozone crisis is
far from over and is indeed set to deepen in coming months.
The overnight joint declaration of Germany, the
Netherlands and Finland appears to unravel much of what was agreed at the
last European summit in June, when EU leaders attempted to pave the way for
the direct recapitalisation of troubled banks, is
gold bullish.
The IMF has warned that the financial system remains
‘vulnerable’ and is a work in progress.
In Spain, protestors fought with police in Madrid as
the government embarks on a new phase of austerity measures for the 2013
budget this Thursday.
The SPDR Gold Trust ETF said its holdings had risen to
a record high of 1,331.331 tonnes by Sept. 25.
Unrest in South Africa continues and the fourth largest
producer in the world, Goldfields, said that workers reneged on a deal to end
a two week strike at its KDC West operation and miners at its Beatrix mine
had also downed tools.
AngloGold Ashanti Ltd., the world’s third-largest
gold producer, halted production at all of its South African mines as labor
unrest that left at least 46 dead in the past two months continues to spread.
Julius Malema, expelled as
youth leader from South Africa’s ruling African National Congress, was
granted bail on a charge of money laundering.
Germany's Federal Statistical Office is scheduled to
release flash inflation data at 8.00 am ET.
Gold in USD, EUR & GBP – YTD 2012
The IMF reported that various countries continued
diversifying into gold in July, some significantly.
South Korean gold reserves rose a sharp 16 tonnes for a 30% increase in total gold reserves.
Paraguay became the latest central bank to begin
diversifying into gold. Their gold reserves rose sharply - from a few
thousand ounces to over 8 tonnes.
Desperate North Korea has exported more than 2 tons to
gold hungry China over the past year to earn US $100 million. Even in tough
times during the Kim Il-sung and Kim Jong-il
regimes, North Korea refused to let go of its precious gold reserves.
Chosun media reports that “a mysterious agency
known as Room 39, which manages Kim Jong-un's
money, and the People's Armed Forces are spearheading exports of gold, said
an informed source in China. "They are selling not only gold that was
produced since December last year, when Kim Jong-un came to power, but also
gold from the country's reserves and bought from its people."
This is a sign of the desperation of the North Korean
regime and also signals China’s intent to vastly increase the
People’s Bank of China’s gold reserves.
Data on the International Monetary Fund’s website
shows Kazakhstan’s assets rose 1.4 tons to 104.4 tons last month,
Turkey’s gold reserves gained 6.6 tons to 295.5 tons, Ukraine’s rose 1.9 tons to 34.8 tons.
While the Czech Republic’s bullion assets fell
0.4 ton to 11.8 tons, data shows.
Nations bought 254.2 tons in the first half of 2012 and
may add close to 500 tons for the year as a whole, the London-based World
Gold Council said earlier this month.
The trend among central banks to diversify their
foreign exchange reserve holdings with gold continues.
This trend is very sustainable considering the still
tiny allocations creditor nation’s banks, with massive foreign exchange
reserves, have to gold.
Paraguay is a new central bank gold buyer –
expect many more central banks to begin increasing their gold reserves in the
coming months.
Cross Currency Table – (Bloomberg)
NEWSWIRE
(Bloomberg) -- Barclays Says Gold Will Outperform Other Precious Metals
From QE
Gold will outperform other precious metals as quantitative easing takes
effect, Barclays Plc said.
Aluminum is the weakest industrial metal based on
fundamentals, and China’s metals stockpiles are modest and falling,
Barclays said in a report distributed to reporters today in London. Prospects
are high for a very large price spike in oil due to low spare capacity and
potential for problems in the Middle East, it said.
‘"QE is not a rising tide that will take all
boats,’’ Paul Horsnell, head of
commodity research at Barclays, told reporters today. “It is good for
gold. Gold will move from one of the weakest commodities this year to one of
the best performers over the next few quarters.”
(Bloomberg) -- Cash Gold in Shanghai Poised for Best
Quarter in Five Years
Cash gold of 99.99 percent purity on the Shanghai Gold Exchange was little
changed at 358.35 yuan a gram at 9:01 a.m.
Singapore time, up 12 percent this quarter and set for the biggest such
advance since the three months to September 2007. Volumes for the benchmark
contract on the country’s largest cash bullion market were 3,267
kilograms yesterday, up from 2,915 kilograms on Sept. 21.
Gold for December delivery fell as much as 0.3 percent
to 359.97 yuan a gram ($1,775.18 an ounce) on the
Shanghai Futures Exchange, and was last at 360.33 yuan.
The metal has risen 11 percent since the end of June, poised for its best
quarterly showing since December 2009.
December-delivery silver declined for a third day,
falling as much as 0.6 percent to 7,118 yuan per
kilogram, before trading at 7,135 yuan.
(Bloomberg) -- Explosive’ Gold ETP Demand Driving
Price Rally, Saxo Bank Says
An
“explosive” gain in demand for gold in exchange-traded products
is helping to drive the metal’s price rally, Ole Hansen, the head of
commodity strategy at Saxo Bank A/S in Copenhagen,
said on the Bloomberg LiveINSIGHTS precious metals
web conference today.
“Hedge funds have only just begun to get
involved, having waited for momentum to return, leaving them plenty of room
to increase positions.”
(Bloomberg) -- IShares Silver
Trust Holdings Unchanged at 10,016 Metric Tons
Silver holdings in the IShares Silver Trust, the
biggest exchange-traded fund backed by silver, were unchanged at 10,015.99
metric tons as of Sept. 25, according to figures on the company’s
website.
Sept. 25 Sept. 24 Sept. 21
Sept. 20 Sept. 19 Sept. 18
2012 2012 2012 2012 2012 2012
Million Ounces 322.022 322.022 319.600 319.600 317.759
316.402
Daily change 0 2,422,030 0 1,840,792 1,356,384 0
Metric tons 10,015.99 10,015.99 9,940.66 9,940.66
9,883.40 9,841.22
Daily change 0.00 75.33 0.00 57.26 42.18 0.00
NOTE: Ounces are troy ounces.
(Bloomberg) -- Gold Prices May Climb to $2,000 Next
Year, Commerzbank Says
Gold may rise to $2,000 an ounce next year, said Eugen
Weinberg, the head of commodities research at Commerzbank AG in Frankfurt.
“I am bullish on gold as there are not many
alternative investments,” Wienberg said on
the Bloomberg LiveINSIGHTS precious metals web
conference today. “There are too many economic risks today, and the
risks are not yet priced in, so I see demand for gold rising.”
NEWS
Gold Poised for Best Quarter Since 2010 on Investor,
Bank Demand - Bloomberg
Gold hits euro record high –
The Financial Times
Gold steady; euro zone concerns weigh
- Reuters
Gold Fields strike spreads to Beatrix
- Reuters
COMMENTARY
Martin Wolf: Germany Should Consider Exit
– The Financial Times
Why Germany Is Going to Exit the Eurozone
– Financial Sense
Gold Shorts To Panic When $1,900/Oz Level is
Breached – King World News
Swiss central bank fuels Europe's North-South debt
crisis – The Telegraph
Mark
O’Byrne
Goldcore
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