Gold Investments Market Update
Gold
Gold finished trading in New York yesterday at $957.00, down $4.00. Gold traded sideways and rose in Asia before rising in early European trading and then falling again and is now down 0.15% for the day.
Equity markets have bounced on what is likely to be another short term correction on massive short covering. Poor earnings from Google, Microsoft, Merrill and now Citigroup this morning should result in gold remaining well bid and support is at $950.
George Soros Goes Long Gold
Considering the extent of the oil price decline, gold has remained very resilient as we predicted. Big money interests realise that the long term gold/oil ratio favours higher gold prices and/or lower oil prices. Forbes reported that George Soros has gone long gold and short oil. (http://www.forbes.com/opinions/2008/07/16/soros-gold-merrill-oped-cx_rl_0717croesus.html). The articles states the ratio is 10 to 1 when in fact it is 15 to 1 which would see a gold price at 15 times the price of oil.
Were oil to fall further that could see oil at some $120 a barrel and gold at some $1,800 per ounce which seems extremely likely given the level of macroeconomic and systemic risk - unprecedented in modern financial and economic history.
Today's Data and Influences
The economic calendar contains little of importance today apart from Eurozone trade balance figures. Stocks and oil are likely to remain the key drivers in the currency and gold markets. Citigroup earnings in particular will be keenly anticipated and have the potential to be an important market driver as they are expected to report serious losses.
Gold and Silver
Gold is trading at $955.20/956.20 per ounce (1230 GMT).
Silver is trading at $18.35/18.40 per ounce (1230 GMT).
PGMs
Platinum is trading at $1947/1957 per ounce (1230 GMT).
Palladium is trading at $420/425 per ounce (1230 GMT).
Tweet
Author: Gold Investments
Gold Investments
http://www.goldassets.co.uk/
Financial Regulation: Gold & Silver Investments Limited trading as Gold Investments is regulated by the Financial Regulator as a multi-agency intermediary. Our Financial Regulator Reference Number is 39656. Gold Investments is registered in the Companies Registration Office under Company number 377252. Registered for VAT under number 6397252A. Codes of Conduct are imposed by the Financial Regulator and can be accessed at www.financialregulator.ie or from the Financial Regulator at PO Box 9138, College Green, Dublin 2, Ireland. Property, Commodities and Precious Metals are not regulated by the Financial Regulator.
Disclaimer: The information in this document has been obtained from sources, which we believe to be reliable. We cannot guarantee its accuracy or completeness. It does not constitute a solicitation for the purchase or sale of any investment. Any person acting on the information contained in this document does so at their own risk. Recommendations in this document may not be suitable for all investors. Individual circumstances should be considered before a decision to invest is taken. Investors should note the following: The value of investments may fall or rise against investors? interests. Income levels from investments may fluctuate. Changes in exchange rates may have an adverse effect on the value of, or income from, investments denominated in foreign currencies. Past experience is not necessarily a guide to future performance.
All the opinions expressed herein are solely those of Gold & Silver Investments Limited and not those of the Perth Mint. They do not reflect the views of the Perth Mint and the Perth Mint accepts no legal liability or responsibility for any claims made or opinions expressed herein.
Fair Use Notice: This newsletter contains copyrighted material the use of which has not always been specifically authorized by the copyright owner. We are making such material available in our efforts to advance understanding of issues of financial and economic significance. At all times we credit and attribute the copywrite owner and publication.
We believe this constitutes a 'fair use' of any such copyrighted material as provided for in Copyright Law. The material on this site is distributed without profit to those who have expressed a prior interest in receiving the included information for economic research purposes. If you wish to use copyrighted material from this site for purposes of your own that go beyond 'fair use', you must obtain permission from the copyright owner.
Gold Investments |
Mission Statement
Gold and Silver Investments Ltd. have been awarded the MoneyMate and Investor Magazine Financial Analyst of 2006. |
We
focus on the medium and long term global macroeconomic trends and how
they pertain to the precious metal markets and our clienteles savings,
investments and livelihoods. We emphasise prudence, safety and security
as they are of paramount importance in the preservation of wealth.Copyright © 2008-2009 Gold Investments
Circle Us