-- Posted Friday, 2 December 2011 | | Disqus
Asia held the gold price at below the London Fixing of $1,752 at $1,746 before London opened. It held there through London’s early morning ahead of the Fix, which was then set higher than the market at $1,751 a dollar down on yesterday’s p.m. Fixing. In the euro it was Fixed at €1,298.287 while the euro stood at€1: $1.3487. Again, the London Fixing continues to dominate the gold price. Ahead of New York’s opening gold stood at $1,757.00 and in the euro at €1,297.38.
The silver price was Fixed yesterday at $33.28 held right through in Asia to stand ahead of New York’s opening at $33.39.
Gold (very short-term)
The gold price will continue to rebuild its strength in New York today, before a breakout one way or the other.
Silver (very short-term)
The silver price will continue to rebuild its strength in New York today, before a breakout one way or the other.
Price Drivers
The rally lost steam as the realities of the Eurozone crisis sank back into the market’s minds. The Eurozone’s meeting of Finance Minister’s is being signaled as a make or break meeting for the euro. It requires a structural change in financial sovereignty which does not seem to be palatable to Europe, even in better times. The support for the Eurozone from central banks resolves the liquidity issue but leaves the issue of solvency alone. Without a solution to this, the developed world will suffer structural changes that will plunge it into recession, a banking crisis and likely economic, political and financial woes that may well take a decade to come out of.
The political issues may well prove intractable. The financial world is making contingency plans for the Eurozone, as we know it, against it falling apart to a greater or lesser extent. Next week will see financial markets as no place for widows and orphans. Volatility alongside sweeping rumors will likely be the shape of the financial world next week. Sad to say, it will prove good for the gold price.
We warn our U.S. readers that the financial tsunami that may flow from an unsuccessful meeting will reach the shores of the U.S. with potentially devastating effect. A successful conclusion to that meeting will see the euro soar. We discuss the gold price prospects in our upcoming issues of the newsletters. [Subscribe through www.GoldForecaster.com or www.SilverForecaster.com to our newsletters on these subjects.]
Regards,
Julian D.W. Phillips for the Gold & Silver Forecasters
Global Gold Price (1 ounce) |
| Today | 1 day ago |
Franc | Sf1,602.96 | Sf1,588.91 |
US | $1,756,00 | $1,747.50 |
EU | 1,297.38 | €1,289.52 |
India | Rs.89,918.61 | Rs.89,939.47 |
-- Posted Friday, 2 December 2011 | Digg This Article
| Source: GoldSeek.com
