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

Commentary : Gold Review : Markets : News Wire : Quotes : Silver : Stocks - Main Page 

 GoldSeek.com >> News >> Story  Disclaimer 
 
Latest Headlines

GoldSeek.com to Launch New Website
By: GoldSeek.com

Is Gold Price Action Warning Of Imminent Monetary Collapse Part 2?
By: Hubert Moolman

Gold and Silver Are Just Getting Started
By: Frank Holmes, US Funds

Silver Makes High Wave Candle at Target – Here’s What to Expect…
By: Clive Maund

Gold Blows Through Upside Resistance - The Chase Is On
By: Avi Gilburt

U.S. Mint To Reduce Gold & Silver Eagle Production Over The Next 12-18 Months
By: Steve St. Angelo, SRSrocco Report

Gold's sharp rise throws Financial Times into an erroneous sulk
By: Chris Powell, GATA

Precious Metals Update Video: Gold's unusual strength
By: Ira Epstein

Asian Metals Market Update: July-29-2020
By: Chintan Karnani, Insignia Consultants

Gold's rise is a 'mystery' because journalism always fails to pursue it
By: Chris Powell, GATA

 
Search

GoldSeek Web

 
Gold and Silver Market Morning: May-11-2016 -- Gold and Silver deciding direction today!


 -- Published: Thursday, 12 May 2016 | Print  | Disqus 

To get daily market reports free, direct to you, send your name & email address to us at:  julian.smaugt1@gmail.com and we will add you to our mailing list]

 

Gold TodayGold closed in New York at $1,277.70 up from Tuesday’s $1,266.40. On Thursday morning in Asia it fell to $1,272.65, as the Yuan continued to weaken against a dollar that held at yesterday’s levels, before the LBMA price setting in London.

 

LBMA price setting:  $1,268.30 down from Wednesday’s $1,271.80.

 

Yuan Gold Fix

Trade Date

Contract

Benchmark Price AM

Benchmark Price PM

2016  05  11

2016  04  11

SHAU

SHAU

266.98

266.31

266.50

267.09

Dollar equivalent @ $1: 6.5414

$1: 6.5377

 

$1,269.45

$1,266.98

$1,267.17

$1,270.70

 

The Gold Fixing in Shanghai’s morning was just under $8 lower than New York’s close. London’s opening was higher than Shanghai’s afternoon Fix initially telling us that physical demand in China caused the price to stay at levels of the day before. We need a few days of price disparity to see who’s leading whom.

 

We are also watchful to see if London stays higher than Shanghai as we do in time expect both higher London prices and much more price volatility as liquidity decreases.

 

Today, again, sees currency exchange rates more or less the same as yesterday leaving gold to show itself almost independently of currencies. We do need more volatility in the gold price to see this clearly, but the Technical picture is showing a narrowing trading range, as it moves to balance above support.

 

At this point in time the gold price could go either way in a strong move according to the Technical picture, in the very short term.  

 

The main news today that may affect the gold price is the Bank of England’s meeting at which they will disclose their view on interest rates. In the U.K. the economic data has been poor, so we do not expect a rate hike. The speech that Mr. Carney gives will impact exchange rates and the gold and silver price, today.

 

The dollar index is almost unchanged at 93.96 down from Wednesday’s 93.98. The dollar is also almost unchanged against the euro at $1.1409 from yesterday’s $1.1411.

 

The gold price in the euro was set at €1,111.67 down from Wednesday’s €1,120.47.

 

Ahead of New York’s opening, the gold price was trading at $1,267.35 and in the euro at €1,112.59. 

 

Silver Today –The silver price closed in New York on Wednesday at $17.39 higher than Wednesday’s $17.10. Ahead of New York’s opening the silver price stood at $17.24.

 

Gold (very short-term)

The gold price will consolidate, in New York today.    

 

Silver (very short-term)

The silver price is still marking time, ready to follow gold’s direction, in New York today.    

 

Price Drivers

In the first quarter of 2016 demand for gold grew 21% to 1,289.8 tonnes, the strongest first quarter on record. U.S. views on the gold price have changed dramatically.

 

 Investment demand out of the U.S. was the main driver as we have highlighted in our newsletters. ETF demand was 364 tonnes came into these funds, which more than reversed the cumulative outflows from 2014 and 2015.

 

The impact on gold prices gave the gold price its best performance in almost 30 years!

 

Jewelry fell sharply on higher prices and market-specific factors. [See below our newsletter sites for subscription]

 

Central bank buying slowed. As we commented earlier in the week and in our newsletters, such demand absorbs the ‘slack’ in the market and does not chase prices. Hence they would have held back. Chinese central bank demand would, in particular be affected. Russia and Kazakhstan take local production into their reserves so these do not reach the global market.

 

Indian consumers hamstrung. Indian demand appeared to be being stifled because of the jeweler’s strike against the imposition of the 1% Excise duty. As we have commented before in our newsletters we are not happy with ‘official’ import figures and ‘official’ demand numbers, because of the well-established, profitable and prevalent smuggling of gold into the country. During the strike we had reports that told us jewelers continued to work, out of sight. Clearly this was with gold bought from smugglers. But such quantities are unquantifiable. With an 11% profit on smuggled gold the volumes by now must be significant.

 

Gold ETFs – Monday saw purchases of 2.674 tonnes of gold bought into the SPDR gold ETF but nothing into the Gold Trust. This leaves their holdings at 841.92 and 197.78 tonnes in the SPDR & Gold Trust, respectively. 

 

Silver – The Silver price continues stable and keen to move. It is chomping at the bit still.

 

Regards,

Julian D.W. Phillips

GoldForecaster.com | SilverForecaster.com | StockBridge Management Alliance

 

About GoldForecaster.com 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)

 

Today

yesterday

Franc

Sf1,231.23

Sf1,242.74

US

$1,267.35

$1,277.55

EU

€1,112.59

€1,119.58

India

Rs.84,497.01

Rs. 84,727.12

China

Y 8,296.07

Y 8,344.96

 


| Digg This Article
 -- Published: Thursday, 12 May 2016 | E-Mail  | Print  | Source: GoldSeek.com

comments powered by Disqus



 



Increase Text SizeDecrease Text SizeE-mail Link of Current PagePrinter Friendly PageReturn to GoldSeek.com

 news.goldseek.com >> Story

E-mail Page  | Print  | Disclaimer 


© 1995 - 2019



GoldSeek.com Supports Kiva.org

© GoldSeek.com, Gold Seek LLC

The content on this site is protected by U.S. and international copyright laws and is the property of GoldSeek.com 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 GoldSeek.com. 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


Map

The views contained here may not represent the views of GoldSeek.com, Gold Seek LLC, its affiliates or advertisers. GoldSeek.com, 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 GoldSeek.com, Gold Seek LLC, is strictly prohibited. In no event shall GoldSeek.com, 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.