24
Jun
2008

Global Derivatives Market now valued at $1.14 Quadrillion!

The Bank of International Settlements, which seems to be the only institution that tracks the derivatives market, has recently reported that global outstanding derivatives have reached 1.14 quadrillion dollars: $548 Trillion in listed credit derivatives plus $596 trillion in notional/OTC derivatives.

Yes, that is Quadrillion. One and 15 zeroes!

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24
Jun
2008

Gold Investments Market Update – Credit Crisis to Escalate on Credit Derivative Debacle

Gold

Gold closed at $884.40 in New York yesterday and was down 17.30 cents; silver closed at $16.76, down 57 cents.

Gold rallied in Asia and in early European trading to recover some of yesterday’s sharp losses. Oil has risen to near record highs, above $138 a barrel again this morning and the dollar has given up much of yesterday’s gains (1.557 to the Euro) and this is likely leading to gold buying.

All eyes are on the Federal Reserve’s interest rate decision tomorrow and this could lead to traders being reluctant to take large positions – long or short.

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23
Jun
2008

Gold Investments Market Update – Peak Gold? – Australian Gold Production Plummets

Gold

Gold closed at $901.70 in New York on Friday and was down 40 cents; silver closed at $17.33, up 1 cent. Gold was up over 4% last week and the close above $900 may prove important from a technical point of view in the coming weeks.

Gold remained strong in Asia and in early European trading but has since succumbed to profit taking after last week’s gains on a stronger dollar this morning. There appear to have been large long positions with stop losses at $900 and this contributed to the severity of the sell off this morning.

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19
Jun
2008

Gold Investments Market Update – South African Gold Production Down Sharply

Gold

Gold closed at $891.30 in New York yesterday and was up $6.90; silver closed at $17.31, up 26 cents. Since then gold has again traded in a range between $885 and $895 in Asian and in early European trading this morning.

Gold rose in early trading in Europe when oil prices rose on news that Anglo-Dutch oil giant Shell had halted production at a major offshore oil facility in Nigeria because of a militant attack.

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18
Jun
2008

Gold Investments Market Update – Royal Bank Of Scotland Issues Crash Alert and BIS Warns of Great Depression

Gold

Gold closed at $884.20 in New York yesterday and was up $1.00; silver closed at $17.05, down 19 cents. Since then gold has again traded in a range between $880 and $890 in Asian and early European trading this morning.

Gold remains firm after the poor economic data from the U.S. yesterday which showed that housing starts and permits continue to slide, industrial production also fell and was weaker then expected.

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17
Jun
2008

Gold Investments Market Update – Bank of England Warns Inflation Here to Stay and to Accelerate

Gold

Gold closed at $883.20 in New York yesterday and was up $13.30;silver closed at $17.24 up 67 cents. Gold traded in a range between $880 and $890 in Asian and European trading this morning prior to selling off at the open on the NYMEX.

With oil selling off and the dollar stronger versus the euro today, gold has come under pressure. But the inflation genie is well and truly out of the bottle and central banks internationally are in an extremely difficult situation.

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13
Jun
2008

Gold Investments Market Update

Gold

Gold closed at $869.50 in New York and was down $10.50; silver closed at $16.48 down 29 cents. Gold rallied initially in Asia but has subsequently given up those gains and has fallen in Asia overnight and in early European trading this morning.

More of the same in the gold market today with gold taking its lead from oil which is down (1%) and the dollar which is up this morning (0.8% against the euro and 0.15% against sterling).

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12
Jun
2008

Gold Investments Market Update – Gold Remains Fringe and the Preserve of the Smart Money

Gold

Gold closed at $881.00 in New York and was up $13.20; silver closed at $16.84, up 27 cents. Gold has subsequently given up some of yesterday’s gains and has fallen in Asia overnight and in early European trading this morning.

Gold is again taking its cue from oil which is down and the dollar which is up this morning. This trend may continue until we get a breakout out of the recent range bound trade between $850 and $950. The breakout is again likely to be to the upside.

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11
Jun
2008

Gold Investments Market Update

Gold

Gold closed at $867.80 in New York and was down $27; silver closed at $16.57 down 58 cents. Gold has risen in Asia overnight and in early European trading this morning is up some 0.5%.

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10
Jun
2008

Gold Investments Market Update – Interest Rates to Rise Internationally to Combat Inflation

Gold

Gold closed at $894.80 in New York and was down 70 cents; silver closed at $17.15 down 22 cents. Both have sold off in Asia overnight and in early European trading this morning.

Gold’s sell off is somewhat counter intuitive given the host of positive fundamentals. However, oil selling off and the dollar strengthening again (despite increasing credit, financial and systemic risk) is contributing to gold’s weakness.

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