Gold at New Record Nominal Highs at 1,064/oz in US Dollars While Comex Open Interest Remains Well Below Record Levels
-- Posted Tuesday, 13 October 2009 | | Source: GoldSeek.com
Gold Gold has surged to new record nominal highs above $1.064/oz in trading in Europe this morning. With the US Holiday yesterday gold traded in a $10 range on Monday. In euro and GBP terms, gold is trading at €719/oz and £675.86/oz respectively. Concerns regarding the dollar and rising oil prices seem to be the impetus for gold's new record highs today. While the large COMEX positions may suggest a correction is likely, it is important to note that open interest levels remain well below the record 593,953 contracts seen in mid January 2008 (the gold open interest on the COMEX rose 2326 contracts to 502,513 yesterday). Indeed such open interest figures were seen for much of the final quarter of 2007 and the first half of 2008 (as seen in the excellent chart featured in Le Metropole Café last night). Also, it is important to note that the COT data is only one factor and not the sole factor in price determination. Questions regarding the definition of commercial shorts and as to whether the shorts may be hedging their positions through unreported purchases elsewhere are worth considering. Large physical buyers have many avenues to acquire bullion and do not have to buy through the COMEX and take delivery (indeed few do).
Ratings agency Standard & Poor's is now warning that the US will have to officially - and imminently - raise its federal debt limit to over its $12.1 trillion debt ceiling. This is leading to real concerns of monetary inflation and currency debasement.
Silver Silver is currently trading at $17.86/oz, €12.09/oz and £11.36 and looks as sound as gold from both a technical and fundamental basis. Silver's nominal high at $50/oz of 30 years ago remains a viable price target in the coming years.
Platinum Group Metals Platinum is trading at $1,348/oz and rhodium is trading at $1,750. Palladium continues its strong run and is currently trading at $333/oz.
The Bullion Services Team
IRL 63 FITZWILLIAM SQUARE DUBLIN 2
UK NO. 1 CORNHILL LONDON EC3V 3ND
IRL +353 (0)1 632 5010 UK +44 (0)203 086 9200 US +1 (302)635 1160
WINNERS MoneyMate and Investor Magazine Financial Analysts 2006
Disclaimer: The information in this document has been obtained from sources, which we believe to be reliable. We cannot guarantee its accuracy or completeness. It does not constitute a solicitation for the purchase or sale of any investment. Any person acting on the information contained in this document does so at their own risk. Recommendations in this document may not be suitable for all investors. Individual circumstances should be considered before a decision to invest is taken. Investors should note the following: Past experience is not necessarily a guide to future performance. The value of investments may fall or rise against investors' interests. Income levels from investments may fluctuate. Changes in exchange rates may have an adverse effect on the value of, or income from, investments denominated in foreign currencies. GoldCore Limited, trading as GoldCore is a Multi-Agency Intermediary regulated by the Irish Financial Regulator.
GoldCore is committed to complying with the requirements of the Data Protection Act. This means that in the provision of our services, appropriate personal information is processed and kept securely. It also means that we will never sell your details to a third party. The information you provide will remain confidential and may be used for the provision of related services. Such information may be disclosed in confidence to agents or service providers, regulatory bodies and group companies. You have the right to ask for a copy of certain information held by us in our records in return for payment of a small fee. You also have the right to require us to correct any inaccuracies in your information. The details you are being asked to supply may be used to provide you with information about other products and services either from GoldCore or other group companies or to provide services which any member of the group has arranged for you with a third party. If you do not wish to receive such contact, please write to the Marketing Manager GoldCore, 63 Fitzwilliam Square, Dublin 2 marking the envelope 'data protection'
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
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.
