-- Posted Tuesday, 7 June 2011 | | Disqus
In the euro the gold price is barely moving at €1,055.06 up just 40 cents from yesterday’s price. Again the gold price is about the dollar not about gold. The dollar is on the wane again. We are now in the seasonal ‘doldrums’ for the gold market and yet the gold price has not fallen. New York closed with gold at $1,545 and London is moving it up in line with the dollar’s decline. The dollar continued to want to weaken and stood at €1: $1.4677 in London’s morning.
In the euro gold was Fixed at €1,055.78 still at the bottom of its trading range. In the dollar gold Fixed at $1,548.70 down 60 cents on yesterday’s Fix.
Just after New York’s opening the gold price was higher at $1,546.15 down almost $2. The dollar stood at $1.4675 and at €1,054.21 down nearly €4.
Silver rose over 30 cents in London to stand at $37.35 after Fixing at $37.41, as New York opened.
Gold - Very Short-term
Gold prices should have a positive bias today in New York.
Silver – Very Short-term
Silver should favor the upside in New York today.
Silver & Gold Price Drivers
At the end of the marriage season in India, farmers there move onto the land to ready themselves for the next crop. The arrival of the monsoon tells them what lies ahead. So far in June the rains have been good. The crop is off to a good start. But this year farmers, who in the past were responsible for 70% of the gold bought these, will not have anywhere near the impact they have had in the past. The rapid development of India has seen such enormous growth in the Indian middle classes that gold demand from these newly rich members of society is spreading demand for gold right across the year. The biggest effect of these developments has not only been the taking away of the ‘gold seasons’ but the rise in demand from India irrespective of the price of gold. Rising prices have pushed poorer Indian investors to silver from gold as that gains more of a wealth preserving precious metal as it continues to follow the gold price’s moves to higher levels.
Higher prices are not likely to deter Indian demand which will only see a lower in tonnage demand as the quantities investors buy is reduced through higher prices. But as this happens smaller investors will swell the ranks of silver investors. However, demand is so strong that record tonnages of both gold and silver are finding their way into the sub-continent.
We cover the implications for gold in macro-economic and currency events in all the issues of the Gold Forecaster and the Silver Forecaster for subscribers. [The Gold Forecaster and Silver Forecaster are a “must-read” for all who want to understand why the gold and silver prices are moving as they are and why.] Subscribe at www.GoldForecaster.com or for silver at www.SilverForecaster.com].
Gold Prices in different currencies which highlight currency moves [We add the Swiss Franc today]:
Swiss Franc – Today: Sf1,291.03: 1 ounce of gold. Friday: 1,293.57: 1 ounce of gold.
U.S. $ - Today: $1,546.15: 1 ounce of gold. Friday: $1,546.50: 1 ounce of gold.
Euro - Today: €1,054.21: 1 ounce of gold. Friday: €1,058.49: 1 ounce of gold.
India –Today: Rs. 69,095.90: 1 ounce of gold. Friday: Rs.69,247.63: 1 ounce of gold.
Regards,
Julian D.W. Phillips for the Gold & Silver Forecasters
-- Posted Tuesday, 7 June 2011 | Digg This Article
| Source: GoldSeek.com
