LIVE Gold Prices $  | E-Mail Subscriptions | Update GoldSeek | GoldSeek Radio 

Commentary : Gold Review : Markets : News Wire : Quotes : Silver : Stocks - Main Page >> News >> Story  Disclaimer 
Latest Headlines

Palladium Melts Up
By: Ed Steer

What Expiring Bubbles Look Like
By: Gary Tanashian, NFTRH

Where Did the Housing Market Go, and Where is it Going Next? My first 2020 Economic Prediction
By: David Haggith

Gold Stocks Wavering
By: Adam Hamilton, Zeal Research

Precious Metals Update Video: A trade deal with China and what kind?
By: Ira Epstein

Looking on the Bright Side
By: John Mauldin, Thoughts from the Frontline

COT Gold, Silver and US Dollar Index Report - January 17, 2020

The Genius of JPMorgan
By: Ted Butler

Precious Metals Update Video: Gold Market Trying to Figure out Where Next?
By: Ira Epstein

A Tale of Two Markets
By: Gary Christenson, The Deviant Investor


GoldSeek Web

Gold and Silver Market Morning: Feb-22-2016 -- Two Global Gold Prices?

 -- Published: Monday, 22 February 2016 | Print  | Disqus 

Gold and Silver Market Morning

Gold Today –Gold closed in New York at $1,229.30 on Friday down from $1,236.80 on Thursday. In Asia, it quite unbelievably, it slipped back to $1,210 ahead of London’s opening. It kept falling in London and at the LBMA price setting it was set at $1,203.65 down from Friday’s $1,221.50. The dollar index is stronger at 97.52 up from Friday’s 96.88.


The dollar is stronger against the euro at $1.1024 up from $1.1102 on Friday. The gold price in the euro was set at €1,091.80 up from €1,100.25.


Ahead of New York’s opening, the gold price was trading at $1,210.35 and in the euro at €1,097.87. 


Silver Today –The silver price closed in New York at $15.36 then in Asia it was pulled back to $15.02 down 34 cents.  Ahead of New York’s opening the silver price stood at $15.07.


Gold (very short-term)

The gold price will consolidate in New York today.    


Silver (very short-term)

The silver price will consolidate in New York today.    


Price Drivers

Friday saw purchases of 19.332 tonnes into the SPDR gold ETF and a purchase of 4.00 tonnes into the Gold Trust. When we saw this number we thought we had made a mistake so we double checked. The numbers are correct. What is strange is that we can’t find anybody who noted this huge number. Physical gold purchases are rising in volume into these two, U.S.-based gold ETFs as gold continues to consolidate in a pattern promising a strong move shortly. The holdings of the SPDR gold ETF are now at 732.963 tonnes and at 184.50 tonnes in the Gold Trust.


We find it somewhat unbelievable that US. Investors should buy 23.332 tonnes of gold into their two main gold ETFs on Friday and then in Asia the price falls back $19.  The U.S. gold market is readying for a strong move shortly, still.


So we have to ask, “How can the prices in Asia fall so much, while New York and London are closed?” It is evident that there is little to no effective arbitrage capacity in the global gold market. China forbids the export of gold, so there is no chance that a smoothing of the gold price can come from Chinese sellers in New York or London. But liquidity levels in Shanghai are sufficient to see gold sales there with no price-chasing. Altogether Shanghai appears a more stable gold market now with less volatility.


With Chinese and Indian wholesalers buying as much gold as they can, confident that the retail and institutional buyers will be there soon thereafter, on an ongoing basis, supplies for the open market in the developed world are under strain. The volatility on the gold price in New York bears clear testament to this. As you can see even now prices fall in Asia and rise in New York substantially! If we are correct on this, then we have to expect continued and rising volatility in the weeks ahead, in daily prices.


So will there be two separate and very different gold prices across the world in the future?  We discussed, in our newsletters, the developments both in and outside China in terms of the structure of the global gold markets being undertaken by the Chinese institutions. We see these as developing effective arbitrage operations, under their control. That means that the absorption of London’s liquidity in the gold market will accelerate.


Protect yourself from Gold Confiscation:


Asians do not chase prices, they always want to know it won’t go lower and then they buy. With the huge growth in Chinese Middle classes, ongoing demand for gold in China will grow too. So price dips will become increasingly rare and a steadier, less volatile market will evolve in Shanghai if this market evolution continues.


But until then, we will see daily prices between morning and evening, remaining volatile.


Silver – With the fall in the silver price in Asia being so heavy this morning, we expect to see a similar but upward volatility in New York.




Julian D.W. Phillips | | StockBridge Management Alliance


About Service:

We focus on keeping our readers on top of the emerging Gold bull market with a global fundamental and technical overview. Members gain access to our comprehensive, weekly report with the latest Gold market news, price analysis, up-to-date portfolio along with coverage of other key markets. Economic and monetary topics are covered as well, along with many other influences that have an impact on the Gold market.


Try a $99 trial subscription and gain immediate access to the latest weekly Gold Forecaster Newsletter!


Global Gold Price (1 ounce)















Rs. 84,452.74


Y 7,893.90

Y 8,031.92



| Digg This Article
 -- Published: Monday, 22 February 2016 | E-Mail  | Print  | Source:

comments powered by Disqus


Increase Text SizeDecrease Text SizeE-mail Link of Current PagePrinter Friendly PageReturn to >> Story

E-mail Page  | Print  | Disclaimer 

© 1995 - 2019 Supports

©, Gold Seek LLC

The content on this site is protected by U.S. and international copyright laws and is the property of and/or the providers of the content under license. By "content" we mean any information, mode of expression, or other materials and services found on This includes editorials, news, our writings, graphics, and any and all other features found on the site. Please contact us for any further information.

Live GoldSeek Visitor Map | Disclaimer


The views contained here may not represent the views of, Gold Seek LLC, its affiliates or advertisers., Gold Seek LLC makes no representation, warranty or guarantee as to the accuracy or completeness of the information (including news, editorials, prices, statistics, analyses and the like) provided through its service. Any copying, reproduction and/or redistribution of any of the documents, data, content or materials contained on or within this website, without the express written consent of, Gold Seek LLC, is strictly prohibited. In no event shall, Gold Seek LLC or its affiliates be liable to any person for any decision made or action taken in reliance upon the information provided herein.