-- Posted Tuesday, 5 July 2011 | | Disqus
www.GoldForecaster.com & www.SilverForecaster.com
Rested and restored after the holiday weekend, U.S. investors find little has changed since last week. The gold price has stayed around $1,484 with the dollar itself holding around €1: $1.4464 over the weekend and in Asia ahead of London’s opening. In the dollar yesterday [4th July] the gold price was Fixed at $1,495.25 and in the euro slightly higher than Friday at €1,029.36. Gold was Fixed in the dollar at $1,498.75 and in the euro at €1,035.76 on Tuesday morning.
Subsequently, the gold price climbed steadily while the euro climbed slightly to €1: $1.4472 leaving the gold price in the euro at €1,038.55.
Silver remains almost unchanged with the silver Fixing in London at $34.76 and was trading at $34.61 ahead of New York’s opening. It is clearly untouched by the Eurozone banking crisis.
Gold - Very Short-term
Gold should have an upward bias today, in New York.
Silver – Very Short-term
Silver appears to want to move sideways today, in New York.
Silver & Gold Price Drivers
The markets on Friday expressed relief at the Greek bailout, but as the smoke clears and the mirrors are turned away, the stark reality that no matter which way you look at it, Greece cannot repay the huge debt burden. The banks are agreeing to a voluntary reduction of the burden in an attempt to avoid a default, but voluntary bank relief or not, Greece has to default on its debt. The ratings agencies are confirming that Greece will be in default if they do not meet the original terms of their loans. They have to rule this way or see their own credibility dissipate.
Please note that we are talking about a bank bailout more than we are talking about a national bailout here. It is this factor that highlights the risks facing the banking system and national currencies.
Confidence in money cannot be negotiated, adjusted by softer attitudes, played with by politicians. We have to call a spade, a spade. That’s why gold will not go away from the money systems. It is a lifeboat that won’t be sunk. As we look at a world of moral turpitude, more and more people want to know where the lifeboat on the ship is, even if they are not climbing into it yet.
What’s worse is that politicians are captaining the ship. Whether it is Europe or the U.S. these people are rocking the boat for their own ends. Can one seriously depend on all these factors for your future financial health?
Do you notice that no-one in Europe’s financial system is mentioning Greece’s 111 tonnes of gold? Not yet anyway. We are producing an article on the 111 tonnes of Greek gold in the current issue of the Gold Forecaster and Silver Forecaster. What are the issues surrounding this gold and what’s happening to it?
[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.] We cover the oil markets, main currency market, central bank buying, gold & silver ETFs as well as the COMEX action alongside key articles on what drives the gold and silver markets. 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: Sf1,269.58: 1 ounce of gold. Friday: Sf1,261.16: 1 ounce of gold.
U.S. $ - Today: $1,503.00: 1 ounce of gold. Friday: $1,511.00: 1 ounce of gold.
Euro - Today: €1,038.55: 1 ounce of gold. Friday: €1,044.20: 1 ounce of gold.
India –Today: Rs. 66,724.18: 1 ounce of gold. Friday: Rs.67,541.70: 1 ounce of gold.
Regards,
Julian D.W. Phillips for the Gold & Silver Forecasters
-- Posted Tuesday, 5 July 2011 | Digg This Article
| Source: GoldSeek.com
