02
Jul
2008

Gold Investments Market Update – Geopolitical Risk From U.S. and Israel Militarily Confronting Iran is Real

Gold

Gold surged to $942.80 in New York yesterday and was up $16.30 and silver closed at $18.20, up 78 cents.

Gold has succumbed to profit taking with the dollar flat and oil prices down marginally ($141.30 per barrel). However, geopolitical risk remains ever present and this should result in gold remaining well bid at these levels.

While the ISM data yesterday looked benign and was greeted by an increase in risk appetite, a deeper look at the numbers was very worrying in that it showed a leap in the Index of Prices paid number.

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30
Jun
2008

Gold Investments Market Update

Gold

Gold surged to $928.50 in New York on Friday and was up $16.20; silver closed at $17.62, up 50 cents.

While the dollar has strengthened somewhat, oil has again rallied sharply to new record highs (up 2.4% to over $143.60 per barrel
) and this should result in gold remaining well bid at these levels. Geopolitical risk and continuing tensions in the Middle East and between the U.S.

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30
Jun
2008

From the Sub-Prime to the Ridiculous

On a day when I read that rising fuel prices are putting a pinch on the world’s oldest profession
I am reminded that there are commentators that can laugh in the face of creeping economic woes.

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27
Jun
2008

Gold Investments Market Update – Gold has Largest One Day Up Move Since 1985

Gold

Gold surged to $912.30 in New York yesterday and was up $32.70; silver closed at $17.12, up 64 cents.

Gold surged in what was the largest one day move since 1985 as the dollar weakened, oil prices surged to new record highs and stock markets fell sharply. While gold was up some 3%, most U.S. stock indices were down some 3% and this continued in Asia and early European trading with gold rising to over $920.

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26
Jun
2008

Gold Investments Market Update – Money Supply Surge to Lead to Inflationary Depression in U.S.?

Gold

Gold closed at $879.60 in New York yesterday and was down $9.20; silver closed at $16.48, down 13 cents. Gold fell prior to and shortly after the Federal Reserve’s decision to keep interest rates on hold at 2%. However, with rates remaining extremely accommodative and inflation surging, gold soon recovered and rallied into the New York close and continued rallying in electronic trading.

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25
Jun
2008

Gold Investments Market Update – Inflation to Unleash a Financial Tsunami

Gold

Gold closed at $888.80 in New York yesterday and was up $4.40; silver closed at $16.61, down 16 cents. Gold fell initially in Asia, then rose in early European trading prior to falling again in recent trade.

With oil prices remaining near record highs, near $137 a barrel this morning and the dollar slightly weaker (it breached and remains close to 1.56 against the euro again this morning), gold should remain well bid at these levels but in the short term anything can happen and support is at $880 and $860.

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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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