-- Posted Monday, 1 October 2012 | | Disqus
Gold Today –New York closed up $22 at $1,773.30 on Friday. This morning Asia and London took it slightly lower before it was Fixed at $1,770.50 and in the euro at €1,372.800 up €7.50. The euro stood higher than Friday’s level at $1.2898 up half a cent on the dollar. Ahead of New York’s opening gold stood at $1,770.45 and in the euro at €1,372.76.
Silver Today – Silver closed at $34.52, up 60 cents in New York on Friday. London dropped it slightly to $34.47. Ahead of New York’s opening it stood at $34.36.
Gold (very short-term)
Gold should still consolidate, today in New York, at slightly lower levels.
Silver (very short-term)
Silver should still consolidate, today in New York, at slightly lower levels.
Price Drivers
Gold & Silver – After the next round of austerity measures including Pension cuts of 10%, Greece will have nearly nothing left to give. Spain has increased Pensions by 1% and won’t cut them. We are waiting for Spain to ask for a bailout, but are led to believe that Spain has already discussed the conditions with Germany and the other E.U. leaders. We wait to see where the way forward will be now. Meanwhile, the euro is still holding the high ground. [To follow our weekly commentary, please subscribe to our newsletters at www.GoldForecaster.com and www.SilverForecaster.com] .
For a moment stand back mentally and contemplate the confidence you had in early 2007 in both the U.S. dollar and the euro and, most of all, in the developed world’s financial system.
Now consider your feelings on these today. Then, gold was at $1,200 an ounce before it pulled back to $1,000. Today, after a pullback from $1,930 to $1,770 we appear to be where we were then after a year or more’s consolidation, when gold started to rise again from over $1,000. Apart from quantitative easing from the two leading central banks, politicians have still not resolved the crisis that started in 2007. What does this tell you?
It tells us that the prices of gold and silver are not about gold and silver but about confidence. Confidence in money and its future! That makes the focus on a ‘top’ in gold and silver, point to only a superficial understanding about what’s going on in precious metal and currency markets. More is needed to see where they are going!
Silver – Silver is building a solid ‘floor around $34.
Regards,
Julian D.W. Phillips for the Gold & Silver Forecasters
Global Gold Price (1 ounce) |
| Today | 1 day ago |
Franc | Sf1,660.06 | Sf1,649.64 |
US | $1,770.45 | $1,762.30 |
EU | 1,372.76 | €1,371.11 |
India | Rs.93,169.93 | Rs.93,562.82 |
-- Posted Monday, 1 October 2012 | Digg This Article
| Source: GoldSeek.com
