Gold Gains As Bank of England Slashes to Emergency Rate of 0.25% and ECB Warns Of 2008 Style “Great Financial Crisis”


◆ Gold prices rose by 0.6% today as the Bank of England slashed rates in an emergency move to 0.25% and the ECB looks set to follow as it warned of a 2008 style crisis overnight.

◆ The Bank of England slashed its main interest rate to 0.25 percent this morning in a emergency move to combat the fallout from the coronavirus outbreak on the UK economy. Gold only saw a marginal gain of 0.45% in sterling to £1,285/oz but remains near all time record highs of £1,304.20/oz.

◆ ECB president Lagarde warned EU leaders last night that without coordinated action, the EU “will see a scenario that will remind many of us of the 2008 Great Financial Crisis.” Lagarde indicated the ECB will also take emergency measures as soon as tomorrow or Friday.

◆ Coronavirus cases surpass 117,000 worldwide; deaths exceed 4,200; China reports just 24 new cases; Italy infections over 10,000, cases; in the U.S. near 1,000.

◆ U.K. and European stocks advanced following the BOE rate cut, while U.S. equity futures dropped as virus cases jumped and parts of New York went into quarantine or a “containment zone” and after the Trump administration failed to to offer details on its economic package.

◆ A surge in cases of the virus globally and the growing impact on consumer and investor sentiment is weighing on consumers, companies and markets; Doubts about a stimulus package proposed by President Donald Trump to soften the economic impact of the coronavirus epidemic also appears to have weighed on risk sentiment.

◆ The outlook for gold remains very strong as we are on the verge of another crisis and are set to see a massive wave of monetary and fiscal easing and stimulus. There may be some short term weakness and consolidation after recent gains but price corrections should be seen as buying opportunities for the foreseeable future.


NEWS & COMMENTARY

Gold rises as concerns over U.S. stimulus dent risk appetite

Bank of England cuts rates by 1/2 point in emergency move to counter coronavirus impact

Dow futures point to an opening loss of more than 600 points after Tuesday’s surge

Italy passes 10,000 coronavirus cases as national quarantine moves closer to total ‘shutdown’

European stock futures jump as BoE joins rate cut party

U.S. Treasury yields head higher with talk of economic stimulus

ECB’s Lagarde Warns of 2008-Style Crisis Unless Europe Acts


GOLD PRICES (USD, GBP & EUR – AM/ PM LBMA Fix)

10-Mar-20 1657.40 1655.70, 1269.40 1273.23 & 1460.00 1455.86
09-Mar-20 1676.60 1672.50, 1280.75 1272.94 & 1469.04 1462.10
06-Mar-20 1687.00 1683.65, 1296.80 1290.85 & 1490.13 1484.31
05-Mar-20 1647.45 1659.60, 1274.47 1284.70 & 1474.63 1482.69
04-Mar-20 1644.80 1641.85, 1286.73 1281.63 & 1475.06 1477.83
03-Mar-20 1599.05 1615.50, 1249.98 1260.25 & 1438.03 1446.03
02-Mar-20 1609.70 1599.65, 1258.79 1251.41 & 1451.47 1437.29
28-Feb-20 1626.35 1609.85, 1262.37 1254.88 & 1474.61 1468.18
27-Feb-20 1646.60 1652.00, 1278.58 1282.45 & 1505.32 1504.97
26-Feb-20 1647.95 1634.90, 1273.37 1264.76 & 1515.45 1505.42



Financial Contagion – What Are The Risks?



Receive Our Award Winning Market Updates In Your Inbox – Sign Up Here



Mark O'Byrne

Also on news-goldcore-com

Videos

The Black Friday Stock Market Crash – Gareth Soloway

Inflation Is Everywhere – Kevin Muir Macro Tourist

Inflation Is Here: Peter Boockvar

Blog posts

The Black Friday Stock Market Crash – Gareth Soloway

Black Friday 2021 saw the largest stock market sell-off since 1931. Is this the start of a bigger crash, has the trend changed or is this just a one-time blip? We ask Gareth Soloway of InTheMoneyStocks.com what his charts are suggesting and why he is so bullish on gold Watch the Video to Learn More […]

READ MORE

Why Governments Hate Gold

Do governments hate gold?  The answer: Yes — Governments hate gold because they cannot print it, and it is difficult for them to control. Because they cannot print it or easily control it, gold has little use to them during the never-ending schemes to tax and then redistribute wealth. India is a recent example of […]

READ MORE

Gold and Bitcoin- Besties or Enemies?

Below is a graph of the gold price and Bitcoin since the beginning of the year. Many of the investors in gold and Bitcoin agree that money printing by central banks should stop. They also agree that governments should help people with special programs during a crisis but that once a crisis ends the government […]

READ MORE

Featured

How High is Too High for Rising Government Bond Yields?

READ MORE

Gold, the Tried-and-True Inflation Hedge for What’s Coming!

READ MORE

Silver – 7 Reasons it is Still Set to Soar

READ MORE
Newsletter
Category
Archives
Popular

No posts available

Videos

The Black Friday Stock Market Crash – Gareth Soloway

Inflation Is Everywhere – Kevin Muir Macro Tourist

Inflation Is Here: Peter Boockvar

Blog posts

The Black Friday Stock Market Crash – Gareth Soloway

Black Friday 2021 saw the largest stock market sell-off since 1931. Is this the start of a bigger crash, has the trend changed or is this just a one-time blip? We ask Gareth Soloway of InTheMoneyStocks.com what his charts are suggesting and why he is so bullish on gold Watch the Video to Learn More […]

READ MORE

Why Governments Hate Gold

Do governments hate gold?  The answer: Yes — Governments hate gold because they cannot print it, and it is difficult for them to control. Because they cannot print it or easily control it, gold has little use to them during the never-ending schemes to tax and then redistribute wealth. India is a recent example of […]

READ MORE

Gold and Bitcoin- Besties or Enemies?

Below is a graph of the gold price and Bitcoin since the beginning of the year. Many of the investors in gold and Bitcoin agree that money printing by central banks should stop. They also agree that governments should help people with special programs during a crisis but that once a crisis ends the government […]

READ MORE

Featured

How High is Too High for Rising Government Bond Yields?

READ MORE

Gold, the Tried-and-True Inflation Hedge for What’s Coming!

READ MORE

Silver – 7 Reasons it is Still Set to Soar

READ MORE