-- Posted Wednesday, 29 August 2012 | | Disqus
Gold Today –New York gold closed at $1,667.20. Traders are driving the market in line with the moves of the euro: dollar exchange rate. The morning Fix was set at $1,664.25 and in the euro at €1,325.040, while the euro stood at $1.2560. Just ahead of New York’s opening, gold was steady at $1,664.26 in the middle and in the euro to €1,325.39.
Silver Today – Silver in New York closed at $30.86 while London pulled it back to $13.75 in line with gold’s moves. Perhaps this was simply dealers following the euro moves as in gold. Just ahead of New York’s opening it stood at$30.77. Silver continues stronger than gold.
Gold (very short-term)
Gold may have a quiet day, today in New York.
Silver (very short-term)
Silver may have a quiet day, today in New York.
Price Drivers
Gold & Silver –While stalwart little Portugal does what is asked of them as their economy continues to decay Spain is finding that not only is its economy still decaying but it is discovering that its regional governments [almost separate countries from each other] are finding their debt situation worse and worse. Catalonia, the one province that is deemed a success story in Spain has gone to the government with its hands out for a €6 billion loan as it finds capital markets have shut them out now. We are now hearing talk of the return of the Spanish Peseta as the withdrawals of capital from the banking system there is growing by the day. If Greece exits the E.U. then we will see a run on Spanish banks. Spain’s potential departure from the E.U. will be a body blow to the Eurozone when and if it happens.
Central bank buying continues whenever gold comes on offer in the bullion market. Immune to prices central banks will keep tapping these markets as stock appears.
Traders are becoming keenly aware of the influence that the Jackson Hole meetings will have on sentiment [even though this won’t touch the fundamentals for gold and silver] and will move prices accordingly. We emphasize again that trader’s actions are like the waves on the seashore while the driving forces we discuss behind gold and silver are the tides that make the real difference. The price moves in gold and silver amply demonstrate this as we have seen in the last fortnight. [To follow our weekly commentary, please subscribe to our newsletters at www.GoldForecaster.com and www.SilverForecaster.com]
Silver - Silver is quiet today but remains robust.
Regards,
Julian D.W. Phillips for the Gold & Silver Forecasters
Global Gold Price (1 ounce) |
| Today | 1 day ago |
Franc | Sf1,591.53 | Sf1,587.46 |
US | $1,664.26 | $1,658.70 |
EU | 1,325.39 | €1,321.57 |
India | Rs.92,574.46 | Rs.91,668.06 |
-- Posted Wednesday, 29 August 2012 | Digg This Article
| Source: GoldSeek.com
