-- Posted Friday, 15 February 2013 | | Disqus
Gold Today – In New York the gold price fell to $1,635.60 down $10 and slipped $5 more ahead of London’s opening. It then Fixed at $1,629.25 and in the euro at €1,221.42, while the euro was $1.3339. Ahead of New York’s opening, gold was $1,627.40 and in the euro at €1,221.40.
Silver Today – Silver closed at $30.45, yesterday. Ahead of New York’s opening silver stood at $30.22.
Gold (very short-term)
We expect gold to slip until Chinese demand returns next week, in New York.
Silver (very short-term)
We expect silver to continue to slip with gold, in New York.
Price Drivers
Gold & Silver – Could gold be close to its bottom, as the Chinese New Year holiday is now coming to an end? Next week should see Chinese gold demand revive. We see the fall in the gold price now, as having no relationship to matters in the developed world.
The developed world is full of discussions on the “Currency War”. We see it as more of a revolution [we have written on the subject in our latest issue]. To us it is more of a revolution because it’s nations who are revolting against the global exchange rate system for the sake of national interests. Will it continue? Of course it must. Politicians, who are behind the currency debasement through quantitative easing, badly need votes in this ‘no growth’ developed world. So policies inciting the appearance of growth [inflation does this] and undermine exchange rates, have to be followed. That’s the structure pointing the way forward. We see this as heralding not simply the demise of ‘safe-haven’ currencies but a destructive period for the foreign exchange system. It is the start of a national free-for-all which can only hurt the credibility of the international foreign exchange system badly. There has to be something that can be an international reference point for the value of currencies as they seek their own advantage?
When George Soros made a billion out of the fall in the pound sterling last century, it marked a change in the foreign exchange system. Likewise, his making a billion out of the Yen lately tells the same tale. With the coming of the Chinese Yuan on the reserve currency stage more uncertainty, instability and disruption is on the way.
But it’s all good for gold and silver long-term. [Subscribe to our newsletters at www.GoldForecaster.com and www.SilverForecaster.com]
Silver –Silver continues to follow gold down, but is sitting in the midst of support levels.
Regards,
Julian D.W. Phillips for the Gold & Silver Forecasters
Global Gold Price (1 ounce) |
| Today | 3 days ago |
Franc | Sf1,502.82 | Sf1,520.74 |
US | $1,627.40 | $1,647.70 |
EU | 1,221.40 | €1,235.67 |
India | Rs.88,254.72 | Rs.88,828.33 |
-- Posted Friday, 15 February 2013 | Digg This Article
| Source: GoldSeek.com
