-- Posted Monday, 7 November 2011 | | Disqus
Asia set the tone for the week, taking the gold price up $16 ahead of London’s opening to $1,770.90. The euro was a cent weaker at €1: $1.3765 and the gold price in the euro at €1,286.52. The Fix was set at $1,764.00 with the euro price Fixed at €1,286.652 while the euro was at €1: $1.3710. The euro strengthened slightly ahead of New York’s opening to €1: $1.3723 making the price of gold in the euro €1,287.58. Thereafter, ahead of New York’s opening the gold price held relatively steady at $1.766.50. The London gold Fix remains the dominating factor for the gold price.
The silver price fell slightly in Asia and stood at $34.41 ahead of London’s opening
Thereafter, remarkably it slipped to $34.23 ahead of New York’s opening.
Gold (very short-term)
The gold price should be steady to stronger, today in New York.
Silver (very short-term)
The silver price should have a steady to stronger, in New York, today.
Price Drivers
Greece is off the table for now and Italy has taken its place. With Papandreou now out of office, will Berlusconi follow him? But Italy is far larger than Greece and if it finds itself in need of a bailout then financial markets will be ruptured and the Eurozone move to another more serious level than before.
A major factor in the rise of the gold price is the sheer persistence of the Eurozone problems. The failure to resolve them followed by yet another crisis and a general feeling that the Eurozone will limp from one crisis to the next is destroying confidence in its future. The recessionary climate we have now moved into there removes hope as well. While the U.S. dollar has been off the pages of newspapers during the last few weeks, it is due to return to them. It does remain the bedrock of the global currency system and likely will be the last to fall, but is following the euro along the same road. More than that ALL currencies are part of the same ‘tree’ each one a branch with the dollar the tree trunk, tied as it is to oil. So it is clear that we are looking at a failure of the developed world monetary system overall, dragged down by the failure of the political system to rectify matters. It has become clear that politicians, with their separate and very different agendas are more of a problem in themselves than a cure for the crises, giving us little confidence in the future and in its place more uncertainty and more fear.
In such a climate how could gold and silver not rise? We look at all of this and related matters with a focus on gold & silver in our newsletters, so we ask you to please subscribe through www.GoldForecaster.com or www.SilverForecaster.com.
Regards,
Julian D.W. Phillips for the Gold & Silver Forecasters
Global Gold Price (1 ounce) |
| Today | 1 day ago |
Franc | Sf1,591.44 | Sf1,553.55 |
US | $1,766.50 | $1,759.40 |
EU | 1,287.58 | €1,270.88 |
India | Rs.86,593.83 | Rs.86,404.13 |
-- Posted Monday, 7 November 2011 | Digg This Article
| Source: GoldSeek.com
