-- Posted Monday, 10 October 2011 | | Disqus
Asia took the gold price back to the morning and afternoon London gold Fixing ahead of London’s opening, at $1,651.55, while that euro stood at €1: $1.3478. Ahead of the Fix the gold price continued to rise slightly by $10 and then Fixed higher than the market at $1,664.00 and in the euro at €1,226.596 while the euro stood at €1: $1.3566.
Later in London’s morning and ahead of New York’s opening, gold rose more to $1,664.80 and in the euro to €1,222.68 while the euro was at €1: $1.3616.
The silver price started the day at over $31.94 before rising slightly to $32.03. Ahead of New York’s opening to $31.92.
Gold (very short-term)
The gold price should continue to consolidate with a negative bias, today in New York.
Silver (very short-term)
The silver price should continue to consolidate with a negative bias, in New York, today.
Price Drivers
The week started with the ‘bailout’ of Dexia Bank with France and Belgium rescuing the bank. More promises from Merkozy [Germany and France] to recapitalize the Eurozone banks, but this time they have put themselves on the spot and said that this must be finalized by the end of October. The danger is that if they don’t or, if their plan does not do the job, then market chaos could ensue and ‘contagion’ spread like wildfire. To date the failure to perform over 18 months since the start of the crisis does not inspire confidence. Oh, the downgrade of Spanish and Italian debt is still being absorbed and raising the stakes much higher on the Eurozone’s survival, without losing member states.
We do note that when a gold price holds a particular price for a few days, it is a prelude to a sharp and often big move either way. We are giving the complete picture in our newsletter on this. So, please subscribe through www.GoldForecaster.com or www.SilverForecaster.com to them.
We have seen the silver price divorce itself from its industrial side and continue to move with gold emphasizing its monetary facet. This is in stark contrast to platinum, which has moved almost entirely on the industrial demand and fallen against gold by over $400 in the last few weeks.
Also favoring gold and silver is the next attempt to pass more legislation in the U.S. through Congress. President Obama is yet again about to be stymied on this attempt reinforcing his governments failure to govern. Perhaps he will keep being defeated to inspire voters to support him better at the next election, or perhaps that will further confirm the emasculated U.S. political scene?
This week in the next issues of our newsletters we are going to look at the way to adjust portfolios looking at the principles behind the decisions shaping precious metal portfolios.
Regards,
Julian D.W. Phillips for the Gold & Silver Forecasters
Gold Prices to Highlight Currency Moves |
| Today | 1 day ago |
Franc | Sf1,506.64: 1 oz. of gold | Sf1,525.95: 1 oz. of gold |
US | $1,664.80: 1 oz. of gold | $1,654.60: 1 oz. of gold |
EU | 1,222.68: 1 oz. of gold | €1,233.90: 1 oz. of gold |
India | Rs.81,666.76: 1 oz. of gold | Rs.81,8449.00: 1 oz. of gold |
-- Posted Monday, 10 October 2011 | Digg This Article
| Source: GoldSeek.com
