Monthly Archives: August 2010

31
Aug
2010

Gold at $1,500/oz Forecast as Analysts Raise Their 2011 Forecasts

Gold

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30
Aug
2010

Silver Up 6% Last Week – Gold-Silver Ratio at 65 Sees Value Buyers Accumulating Silver

Gold

Markets nervously await data this week including the important monthly jobs number which will likely again underline the risks of a double dip recession. While Asian shares advanced, European shares (London closed for a public holiday) have been more tentative this morning and the US futures are marginally positive. Currencies markets have not seen much movement but yen is stronger again today despite concerns that the government action will not be able to control currency price movements.

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26
Aug
2010

Gold Falls on Positive Jobs Number – Close to Record Nominal Highs at $1,264/oz

Gold

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25
Aug
2010

Gold Demand Increases 36% as Investors Increase Allocations to Bullion

Gold

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24
Aug
2010

Gold Down For Third Day on Profit Taking, Oil Weakness and Dollar Strength

Gold

Gold fell marginally yesterday and has fallen for a third day in a row. Gold’s hesitation and weakness is likely due to renewed dollar strength, oil weakness and profit taking after gold’s recent sharp rally. Market participants will be nervous about another disappointing report on the housing market later today.

Gold is currently trading at $1,215.75/oz, €964.12/oz, £789.19/oz.

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23
Aug
2010

Gold Marginally Lower in USD and Flat in EUR and CHF

Gold

Gold traded sideways in Asian trade, hovering near last week’s close at $1,228/oz. There was a brief spike to $1,231.35/oz in early European trade prior to sharp and determined selling. Gold remained marginally higher until the London AM fix whereupon there was a further wave of selling which took prices down to $1,225.30/oz. Gold is lower in most currencies except the euro and the Swiss franc which are slightly weaker this morning (see Cross Currency Rates).

Gold is currently trading at $1,225.72/oz, €964.91/oz, £788.30/oz.

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20
Aug
2010

Gold and Silver Consolidate after Recent Sharp Gains

Gold

Risk aversion remains on as European equity markets have followed their US and Asian counterparts lower after yesterday’s poor US economic data. The dollar and yen have rallied today and this is contributing to gold’s slight weakness in these currencies this morning. Gold is higher in Canadian dollars, euros and marginally higher in sterling as these currencies have fallen today. Government bond yields continue to fall to record lows with US Treasuries at their lowest yield in 11 months and German Bunds at record low yields.

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19
Aug
2010

Disappointing US Jobs Number Sees Stocks and Dollar Fall While Gold Rises

Gold

Gold rose to new 6 week highs at $1,237/oz after the disappointing US jobs number heightened concerns about the health of the US economic recovery. The rise follows yesterday’s recovery from initial falls and marginal higher close as safe haven buying trumped an initial bout of profit taking.

There is no technical resistance between this price level and the record highs (nominal) seen in June at $1,265/oz and the fundamentals continue to remain sound with safe haven demand remaining quite high – especially for this time of year.

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18
Aug
2010

Gold Has Marginal Falls on Low Volume Trading and Profit Taking

Gold

Gold fell to $1,220/oz per ounce in early European trade before bouncing. It is now trading at $1,223/oz and has thus given up some of yesterday’s small gains as summer trading volumes remain low and traders book profits after the recent rise in gold prices. Investors remain risk averse as seen in weakness in equity markets and the safe haven bid for German bunds, Japanese yen and US Treasurys (despite the dollar coming under selling pressure).

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12
Aug
2010

Gold Higher on Safe Haven Buying after Poor Jobs Number

Gold

Gold has risen (over $1,214/oz) on safe haven buying after the poor jobs number underlined growing concerns about the health of the US and global recovery. Concerns about sovereign debt markets in Europe have seen the euro come under pressure again.

Economic uncertainty has not been helped by Fitch warning that the US AAA credit rating may come under pressure in the coming years.

Gold is currently trading at $1,213.70/oz, €944.92/oz and £777.76/oz.

Silver

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