Today’s AM fix was USD 1,259.25, EUR 920.44 and GBP 757.40 per ounce.
Yesterday’s AM fix was USD 1,244.25, EUR 912.88 and GBP 749.91 per ounce.
Gold fell $28.14 or 2.3% to $1,264.20/oz. Silver slipped 0.31 or 1.6% to $20.04/oz.
Gold has edged higher again today and is set for its fifth consecutive weekly higher close which is bullish from a technical and momentum perspective. Gold is 5.5% higher year to date.
Speculation the U.S. Fed will again cut stimulus next week and that higher gold prices will limit physical demand is being ignored.
Gold shot up yesterday on poor U.S jobs data and after murmurings that the punitive taxes on gold in India may be reduced. Congress party chief Sonia Gandhi has asked the government to review tough import restrictions on gold, which include a record 10% import duty.
South Africa’s government will chair talks between union officials and the world’s three biggest platinum producers as the strike begins its second day. Nearly 70,000 employees downed tools at Anglo American Platinum Ltd., Impala Platinum Holdings Ltd. and Lonmin Plc mines yesterday, where 70% of global platinum is produced. Platinum is 6% higher this month.
Shanghai Gold Exchange (SGE) contracts rose to their highest since January 6 yesterday, when levels hit an 8 month high. Physical demand in China has fallen from elevated levels but is likely to remain very robust in the coming months.
Some of the world’s growing middle classes and the wealthy are moving their gold away from increasing financial repression in the western world to the Asian capitals of Hong Kong and Asia’s emerging precious metals trade hub, Singapore.
Zurich remains the preferred destination for many western and international investors, both retail and institutional. However, we and other bullion specialists are seeing an increase in clients seeking secure storage in Hong Kong and Singapore.
We concur with the view of many of our American and European clients that storing gold in Perth, Zurich, Hong Kong and increasingly Singapore is safer than in London, New York or elsewhere in the U.S.
Throughout history, gold has flowed to where it is most favourably treated. Today there is a growing move to own gold outside of the massively indebted and nearly insolvent western banking system and sovereigns.
Singapore is fast positioning itself as Asia’s global precious metals hub. In large part, this is due to Singapore’s very dynamic economy, Singapore fast becoming one of the world’s leading financial capitals, and the government’s support to position Singapore as the precious metals hub of the world.
The key requirements allowing Singapore to slowly become a global precious metals hub are many of the key benefits of storing bullion in Singapore today.
They include political and economic stability, very favourable tax treatment of precious metals, world class physical infrastructure and storage infrastructure, being a global transportation hub, hosting leading storage providers, pools of liquidity, refining capacity and government support and sponsorship.
Find out why Singapore is now one of the safest places in the world to store gold in our latest gold guide – The Essential Guide To Storing Gold In Singapore
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