-- Posted Monday, 4 February 2013 | | Disqus
Gold Today – In New York the gold price rose $3 to $1,667.80 continuing to consolidate, on Friday. In Asia on Monday it began to recover in the next and possibly final stage of its consolidation trading around that level in London’s morning where it Fixed at $1,664.25 almost the same as Friday and in the euro at €1,224.524 up €6.5, while the euro was $1.3591. Ahead of New York’s opening, gold was $1,663.00 and in the euro at €1,225.813.
Silver Today – Silver closed at $31.82 up nearly 40 in New York on Friday. Ahead of New York’s opening silver stood at $31.54.
Gold (very short-term)
We expect gold to tighten its consolidation range, in New York today.
Silver (very short-term)
We expect silver to tighten its consolidation range, in New York today.
Price Drivers
Gold & Silver –
The offering by the leading Swiss banks of allocated accounts for their clients tells us about the osmotic ‘official’ move towards gold in the monetary system, we believe. We do not accept that they offered their clients such accounts to reduce their balance sheets. This is a consequence, not a reason. We see the reason in reaction to the invasive nature of the U.S. IRS in the light of future changes to FATCA the new U.S. Tax system coming in, in 2014. We see them wanting to be able to show what U.S. clients are holding in gold, even though at the moment such holdings do not have to be reported. Should the U.S. in the future want to see this, then U.S. owned gold won’t be hidden in the Swiss bank balance sheet out of sight of the U.S. And this way any issues will be between the owners of the gold and the U.S. only! Think on! Swiss banks are in the same place as overseas gold dealers! [Subscribe to our newsletters at www.GoldForecaster.com and www.SilverForecaster.com].
Now add to this the slow but palpable moves of central bankers towards gold through repatriation, buying or just not selling and you have an undercurrent in the gold market that promises a good future for the gold and silver prices that will happen irrespective of the state of the developed world economies.
With the marriage season starting in India and 10 million weddings expected to take place this [and most years] this is the time that the family matriarchs buy gold and silver for their daughters to ensure that the newly married couple start off with family security. It is such a different approach to gold from that of the West. The developed world treats gold jewelry as simply decoration of the ladies, so it need not be pure gold. In India, jewelry is usually nearly pure gold, because it is money and financial security. China has the same underlying attitude towards gold. It is in these differences that the future gold price lies.
Silver –U.S. silver buyers are quiet now, so silver is moving in tandem with gold again.
Regards,
Julian D.W. Phillips for the Gold & Silver Forecasters
Global Gold Price (1 ounce) |
| Today | 3 days ago |
Franc | Sf1,515.16 | Sf1,507.51 |
US | $1,663.00 | $1,666.40 |
EU | 1,225.81 | €1,220.71 |
India | Rs.88,621.27 | Rs.88,652.48 |
-- Posted Monday, 4 February 2013 | Digg This Article
| Source: GoldSeek.com
