Today’s AM fix was USD 1,568.50, EUR 1,222.81 and GBP 1,038.40 per ounce.
Tuesday’s AM fix was USD 1,597.75, EUR 1,244.64 and GBP 1,051.64 per ounce.
Gold fell $23 or 1.45% yesterday while silver fell 76 cents or 2.7%.
Cross Currencies Table – Bloomberg
Gold has fallen to $1,570/oz as irrational exuberance continues in international markets with investors piling into equities as the U.S. stock market ‘crack up boom’ continues … for now.
Risk appetite remains recklessly high with the Dow Jones Industrial average up another 90 points yesterday to 14,662 and now targeting 15,000. This risk appetite is continuing to pressurise gold.
Gold’s lower quarterly close may also be leading to momentum players continuing to sell further pressurising gold. Gold’s fundamentals remain sound though and smart money will continue to buy on the dip.
Geopolitical risks in North Korea, between Japan and China and in the Middle East remain remain heightened and could intensify which could be the catalyst for gold bouncing from oversold levels.
Platinum in USD (5 Years) – Bloomberg
There are also still very significant sovereign risks with Slovenia and Luxembourg in the EU now under the spotlight and the risk of a major default in Argentina now looming.
Physical gold and silver demand remains robust in many markets internationally. Demand from the Middle East remains robust as seen in the near record imports of gold and silver into Turkey.
Palladium in USD (15 Years) – Bloomberg
Turkey’s gold imports climbed to an eight-month high in March as prices averaged the lowest since May, according to the Istanbul Gold Exchange. Silver imports rose 31% from a month earlier according to Bloomberg.
Gold imports increased to 18.26 metric tons, the most since July. That’s up from 17.34 tons in February and compared with 2.91 tons a year earlier, data on the exchange’s website show. The country shipped in 120.8 tons last year.
Turkey was the fourth-biggest gold consumer in 2012, according to the London-based World Gold Council. Bullion averaged $1,593.62 an ounce last month and is trading about 17% below the record nominal high of $1,921.15 set in September 2011.
Silver in USD (3 Years) – Bloomberg
Silver imports advanced to 6.19 tons in March, the most since January, according to the bourse. The nation imported 142.2 tons last year. Silver averaged $28.8157 in March, the lowest since July and remains well below the record nominal high of nearly $50/oz seen in April2011.
Gold and silver’s inflation adjusted record highs from 1980 of $2,400/oz and $140/oz have been our long term price targets since 2003 and remain so.
Platinum was down 1.4% to $1,568.50%, while palladium fell 1.6% to $766.75/oz but with large deficits expected for both PGM metals this year, weakness is likely to be fleeting.
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NEWS
Gold Settles Below $1,600 – Wall Street Journal
Gold off 4-week low, firm equities likely to weigh – Reuters
Fed’s Kocherlakota repeats call for more policy easing – Reuters
ECB’s Coeure warns against consequences of currency war – Reuters
COMMENTARY
Jim Rogers: IMF Said "Loot the Bank Accounts" – YouTube
State-Wrecked: The Corruption of Capitalism in America – The New York Times
The Four Traits Of Monetary Union Collapse – Zero Hedge
Fed Shorting Gold to Support the Dollar, Former Assistant Treasury Secretary Roberts Says – Proactive Investors
