Category: Gold and Silver 2011
The analysis published under this category are as follows.Friday, January 28, 2011
Alan Greenspan Entertains Metal Standard, Again / Commodities / Gold and Silver 2011
Few casual observers of the world of international finance would see Alan Greenspan as an advocate for sound money. After all, he led the charge behind one of the largest financial bubbles in world history as chairman of the Federal Reserve.Read full article... Read full article...
Friday, January 28, 2011
A Simple Shake Could Set Silver Free / Commodities / Gold and Silver 2011
There is no more silver! Really, there isn’t any left.There is a danger lurking in the shadows of the COMEX silver market. Prices are (generally) rising, but the supply of silver is falling, and it’s falling quickly. Why, you ask? Unfortunately, there has been confusion in the paper and physical metals market…as if silver investors hadn’t already noticed.
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Thursday, January 27, 2011
Will Gold, Silver and Oil Prices Soar on Social Unrest In The Middle East? / Commodities / Gold and Silver 2011
An unexpected specter is haunting the streets throughout the capitals of North Africa and the Middle East. Although revolution has been quelled for many years, dollar devaluation has caused prices of basic goods to soar in emerging economies like these. Young people are unemployed and face little opportunities in autocratic societies. Tens of thousands of young, leaderless Arabs are rioting in the streets demanding an end to pro-Western leaders. Egypt’s stock market (EGPT) has been shut down as reports are showing that the rioting will intensify, and many people and businesses are fleeing the country.
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Thursday, January 27, 2011
Is the Selling Over In Gold? / Commodities / Gold and Silver 2011
Are gold prices ready to resume the run higher? It has had an auspicious start to 2011 and the negative reports relative to the metal have been on the rise. The gold bugs are jumping up and down saying buy, buy, buy! And the other side is calling for the price to fall to $1050 per ounce. Who is right in the quest for profits in gold?
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Thursday, January 27, 2011
Will Gold Respond to the Fed’s Pledge to Keep Printing? / Commodities / Gold and Silver 2011
Tuesday’s Federal Reserve statement (see below) contained no big surprises. We expected them to reiterate their intention of completing all the bond purchases as outlined originally in the second quantitative easing program (QE2). The Fed’s hope is that rising asset prices will increase confidence, and in turn lead to more spending and more hiring.
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Thursday, January 27, 2011
Gold Slips Again But Zero US Rates, Eurozone Warned of "Imported Inflation" / Commodities / Gold and Silver 2011
WHOLESALE PRICES for physical gold fell back from the third overnight rally in four days in London on Thursday, dropping 1.1% against the Dollar as Asian stock markets closed the day flat but European shares ticked higher.
"We don't feel that this downward pressure can persist, given ample global liquidity and low long-term real interest rates," says Standard Bank's commodity team in a client note.
Thursday, January 27, 2011
Market Manipulation, Why Gold and Silver Have Declined / Commodities / Gold and Silver 2011
Kirbyanalytics subscribers received the following fast blast [in blue] appended below late Tuesday night, Jan. 25, 2011:
The Thompson Reuters CRB index weighting has not changed since 2005. However, virtually all other commodities related indexes do rebalance in early Jan of every year. For instance the $CCI consists of 17 commodity constituents – with 5.88 % of the index allotted to each commodity. It rebalances in early Jan. every year.
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Wednesday, January 26, 2011
Fiscal Policy Setting Stage for a New Bubble in a Series of Asset Classes / Commodities / Gold and Silver 2011
Marshall Auerback, corporate spokesperson for Toronto-based Pinetree Capital, is a so-called "hedge fund" strategist. He believes that deficit spending is not bound by anything other than inflation, which, he says, is of limited consequence right now. Marshall believes the U.S. government's main goal should be to reduce unemployment, and he predicts the gold price is likely to remain rangebound between $1,100 and $1,400 an ounce in 2011. However, his long-term outlook for precious metals remains rosy given that "casino capitalism" is setting the stage for a new bubble. In this exclusive interview with The Gold Report, Marshall reveals some of Pinetree Capital's precious metals holdings and explains why he fears for the global economy.
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Wednesday, January 26, 2011
What Difference if Central Banks Buy Gold Local Production Or On the International Market? / Commodities / Gold and Silver 2011
China currently produces 340 tonnes of gold annually. This may increase by up to 100 tonnes a year or more. It imported 210 tonnes in 2010. The demand for gold is increasing in China and this is likely to continue in line with the growth of the Chinese Middle classes. We do not know for sure how much the People's Bank of China took into its reserves and are only likely to know in two years time. Russia produces around 250 tonnes of gold per annum. It increases its reserves by 152.4 tonnes by January 1st 2011.
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Wednesday, January 26, 2011
Will Commodity Issues Follow Equity Strength or Commodity Weakness? / Commodities / Gold and Silver 2011
This is shaping up to be a very important and a very interesting day for the precious metals and the mining names. With oil inventories putting pressure on U.S. oil prices in general, it remains to be seen if oil's impact presses other commodity prices lower -- in particular, the precious metals.
If the mining issues remain bid, and buoyant today, then we could come to the conclusion that they are following the equity market lead, rather than the weakness in commodities. Right now, my technical work argues in favor of price stability followed by potent recovery rallies in Barrick Gold (ABX) and Silver Wheaton (SLW).
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Wednesday, January 26, 2011
The Secret Behind Gold's $100 Collapse / Commodities / Gold and Silver 2011
The question many investors are asking themselves today is, just what happened to the price of gold?
Did the world change? Did the problems in Europe go away? Did all the states manage to find funding to cover their deficits?
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Wednesday, January 26, 2011
Case for Gold "Strong" as IMF Urges Loose Money / Commodities / Gold and Silver 2011
THE PRICE OF PHYSICAL gold bullion rallied from its lowest level since end-Oct. in what dealers called "quiet trade" in London on Wednesday, but remained nearly $100 per ounce off Dec.'s all-time highs ahead of today's US Federal Reserve announcement on monetary policy.
European stock markets rose over 1.2% meantime, as New York futures pointed to the Dow opening above 12,000 for the first time since June 2008 and the US Dollar weakened on the currency market.
Wednesday, January 26, 2011
13 Reasons Why Gold Bull Market Still Has Further to Rise / Commodities / Gold and Silver 2011
Financial history teaches that market prices are not just subject to cyclical fluctuations — mainly following the business cycle. They are also liable to much longer lasting secular trends, often spanning 15 years, 20 years or longer. These secular cycles are visible in stocks, commodities, bonds and precious metals.
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Wednesday, January 26, 2011
If Gold Falls Even With Rising Stocks, What Happens If Stocks Fall? / Commodities / Gold and Silver 2011
With gold prices showing no signs of a breakout in 2011 so far, many investors have started unwinding long positions in anticipation of no further upside. The situation warrants a close scrutiny of the state of affairs. In the following part of this essay we analyze indications from the correlation matrix and technical indicators from silver and mining stocks to gauge the extent of this concern.
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Wednesday, January 26, 2011
Stagflation in UK a Real Risk to US and Western Economies / Commodities / Gold and Silver 2011
What were termed "shock" UK GDP figures yesterday, led to falls in the FTSE and the pound sterling which fell against the dollar and gold. Sterling's fall saw sterling gold prices rise from £833 per ounce to over £842 per ounce after the news.
Economists were once again surprised by the very poor UK GDP figures which showed the economy has contracted by 0.5% rather than growth of 0.5%. This clearly shows that the UK is now experiencing stagflation or high inflation and very low or contracting economic growth.
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Tuesday, January 25, 2011
Gold Mr Market in a State of Denial / Commodities / Gold and Silver 2011
David Galland, Managing Director, Casey Research writes: Does the price action of gold of late make you scratch your head, falling as it has from its recent high of $1,420 to $1,334 as I write? Hard not to make one wonder, considering the nature of so much recent breaking news...
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Tuesday, January 25, 2011
Gold and Silver Investors Should Be Following China's Moves Into U.S. Banking Industry / Commodities / Gold and Silver 2011
I coined a term called the "Chinamese Twins" for my readers. I advised my readers that two separate dinners were to be held at the White House, the feast receiving the most publicity was held as the "Grand State Dinner." I regarded this banquet as window dressing held for the benefit of the world press corp, assorted media channels and photo ops to gorge the public adoration of pomp and publicity.
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Tuesday, January 25, 2011
Gold Hits 3-Month Low as Bloomberg Users Call Gold "A Bubble" / Commodities / Gold and Silver 2011
THE PRICE OF PHYSICAL gold in wholesale bars fell to new multi-month lows against all major currencies on Tuesday morning, dropping to $1325 per ounce as Asian speculators hit what one Hong Kong dealer called "capitulation and panic".
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Tuesday, January 25, 2011
Gold Price Correction Consistent with Bull Market Continuity / Commodities / Gold and Silver 2011
With technical indicators today suggesting gold could dip as low as US$1,322 an ounce in the current corrective phase, bears and bugs are deploying opinions in-line with their interests. The drop by nearly $100 in ten weeks is nothing new, nor is the strident tone growing in both camps. Its all consistent with the bull market in gold and silver that has been underway for the last decade.
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Tuesday, January 25, 2011
Gold and Silver continue to Sell off Despite Shortage in Hong Kong / Commodities / Gold and Silver 2011
Gold and silver's sell off has continued this morning. Despite gold's 3.75% and silver's nearly 8.4% fall in January and the continued sell off in futures markets, physical demand remains robust and supply tight. While speculators are taking profits and some shorting, investors and those who see gold as a store of value continue to accumulate physical. This is particularly the case in China, India and Asia but western demand also remains robust as seen in the record demand for US Silver Eagles from the US Mint in January and continuing reports of dealers not being able to secure certain bullion products. Dealers in Hong Kong overnight report that "there doesn't seem to be enough supply in the physical market." (see News)
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