Gold Surges To All Time Record Highs At $1,974/oz In Australian Dollars

GoldCore Note
Gold is lower in dollars today despite increasingly dovish signals from the Federal Reserve, ECB, Australian central bank and other central banks as economies slow.

Gold has surged higher in Australian dollars again this week and reached a new all time record high in the Aussie dollar yesterday at $1,974/oz. This is due to concerns about the Australian economy, the likelihood of interest rate cuts Down Under and the negative outlook for the Australian dollar.

Gold remains just off 14-month highs at $1,344.90 per ounce due to likelihood that central banks will again loosen monetary policy due to the very uncertain geopolitical and economic outlook – particularly regarding global trade.


Stock markets globally remain near two-week highs today and have again been lulled into a false sense of security as speculators bet on a wave of central bank stimulus globally. There are increasing signs that there may be interest rate cuts as early as July in the slowing United States and the euro monetary zone.

Risk assets remain ‘irrationally exuberant’ partly due to President Mario Draghi’s significant ‘about turn’ on monetary policy easing. In one of the biggest policy reversals of his 8 year tenure, Draghi said the ECB would ease again if inflation fails to increase.

Central bankers desire for inflation is very bullish for gold. There has already been massive inflation seen in asset markets and particularly the price of stocks, bonds and of course property. The risk is that the ‘inflation genie may get out of the bottle’ and as economies slow, this creates the real risk of stagflation.

Interestingly, there has been a noticeable increase in new clients from Australia in recent days and a pick up in demand for storage from existing clients. We have a smattering of Australian clients and take payment in Australian dollars. They own bullion coin and bar assets stored with us in Secure Storage in Zurich, Hong Kong and Singapore.

We believe the all time record high of gold in Aussie dollars yesterday (nominal high and not inflation adjusted) will be seen in other currencies in the coming months.


LBMA Gold Prices (AM/ PM Fix – USD, GBP & EUR)

18-Jun-19 1344.55 1341.35, 1073.22 1070.67 & 1201.89 1198.09
17-Jun-19 1333.20 1341.30, 1059.49 1065.13 & 1188.81 1193.09
14-Jun-19 1352.45 1351.25, 1069.79 1070.33 & 1200.03 1201.80
13-Jun-19 1335.80 1335.90, 1054.21 1052.69 & 1182.85 1184.81
12-Jun-19 1336.65 1332.35, 1049.27 1045.76 & 1179.99 1177.26
11-Jun-19 1322.65 1324.30, 1040.53 1041.30 & 1168.96 1170.42
10-Jun-19 1328.60 1328.60, 1046.94 1048.66 & 1175.41 1175.94
07-Jun-19 1334.30 1340.65, 1049.16 1052.14 & 1184.19 1184.60
06-Jun-19 1336.65 1335.50, 1053.15 1051.17 & 1189.62 1185.92
05-Jun-19 1337.75 1335.05, 1052.01 1049.22 & 1185.38 1184.99
04-Jun-19 1323.60 1324.25, 1045.51 1043.77 & 1177.47 1177.26

News and Commentary

Gold dips as trade optimism, dovish ECB lift equities; focus on Fed

Fed likely to leave rates steady, despite market outlook and Trump demands

Trump on demoting Fed Chair Jerome Powell, day before rate decision: ‘Let’s see what he does’

Central banks’ dovish cooing keeps world stocks lulled near two-week highs

Watch video here


China stockpiles gold while letting U.S. bond holdings slide

Italy Will Break Up The Eurozone

How 7.4 tonnes of Venezuela’s gold landed in Africa — and then vanished

‘Dollar becoming toxic’, more nations searching for alternatives – Russia’s foreign intel chief



Mark O'Byrne

Also on news-goldcore-com

Videos

When will Silver Break Out? Is Triple Digit Silver Still on the Cards?

Is Gold Still in a Bull Market?

Gold Mining Operation Supply Issues Points to a Sustained Bull Market for Gold

Blog posts

Quantitative Easing: A Boon or Curse?

Central banks’ massive Quantitative Easing (QE) programs have come under scrutiny many times since the central banks fired up the printing press and began quantitative easing programs en masse after the 2008-09 Great Financial Crisis. However, the increase in central bank assets due to quantitative easing programs during the crisis pale in comparison to the […]

READ MORE

The Fed’s Inflation Gamble Continues

The fed’s inflation gamble continues… Are central banks trapped? Last week’s Fed statement and the press conference that followed proved to be the start of a US$90 (4.8%) decline in the gold price. Fed on Economic Recovery The Summary of Economic Projections (known as the dot-plots) released with the statement showed that committee members changed […]

READ MORE

Gold to Gain Momentum in 2021 – Here’s Why

Big ideas are like supertankers filled with oil; both take forever to get moving. The move from one state to another is a boring form of entertainment. However, each is impossible to stop once the momentum has built. Substantial progress can be seen over a period of time and one can notice and understand the […]

READ MORE

Featured

Gold posts its first loss in 11 sessions as Trump’s speech ebbs Iran war worries

READ MORE

China and Russia Are Buying Gold and They Don’t Care How Much It Costs

READ MORE

Gold Is Overvalued in Short-Term, Says Goldcore’s O’Byrne

READ MORE
Newsletter
Category
Archives
Popular

No posts available

Videos

When will Silver Break Out? Is Triple Digit Silver Still on the Cards?

Is Gold Still in a Bull Market?

Gold Mining Operation Supply Issues Points to a Sustained Bull Market for Gold

Blog posts

Quantitative Easing: A Boon or Curse?

Central banks’ massive Quantitative Easing (QE) programs have come under scrutiny many times since the central banks fired up the printing press and began quantitative easing programs en masse after the 2008-09 Great Financial Crisis. However, the increase in central bank assets due to quantitative easing programs during the crisis pale in comparison to the […]

READ MORE

The Fed’s Inflation Gamble Continues

The fed’s inflation gamble continues… Are central banks trapped? Last week’s Fed statement and the press conference that followed proved to be the start of a US$90 (4.8%) decline in the gold price. Fed on Economic Recovery The Summary of Economic Projections (known as the dot-plots) released with the statement showed that committee members changed […]

READ MORE

Gold to Gain Momentum in 2021 – Here’s Why

Big ideas are like supertankers filled with oil; both take forever to get moving. The move from one state to another is a boring form of entertainment. However, each is impossible to stop once the momentum has built. Substantial progress can be seen over a period of time and one can notice and understand the […]

READ MORE

Featured

Gold posts its first loss in 11 sessions as Trump’s speech ebbs Iran war worries

READ MORE

China and Russia Are Buying Gold and They Don’t Care How Much It Costs

READ MORE

Gold Is Overvalued in Short-Term, Says Goldcore’s O’Byrne

READ MORE