-- Posted Tuesday, 9 July 2013 | | Disqus
Today’s AM fix was USD 1,252.00, EUR 972.58 and GBP 840.95 per ounce.
Yesterday’s AM fix was USD 1,225.50, EUR 954.22 and GBP 822.70 per ounce.
Gold rose $14.80 or 1.21% yesterday and closed at $1,236.50/oz. Silver climbed 1.06% and closed at $19.06.
Support and Resistance Chart - (GoldCore)
Gold is over 1% higher in all currencies today. The gains are being attributed to data which showed that China’s inflation accelerated more than estimated in June, boosting demand for the precious metal as a hedge against inflation, in what will become the world’s largest buyer of gold this year.
The Russian State Precious Metals and Gems Repository Gokhran may resume gold purchases in 2014, Bloomberg and Reuters reported citing Russian state news services.
Gokhran, the State Precious Metals and Gems Repository, is a state institution under the Russian Ministry of Finance, responsible for the State Fund of Precious Metals and Precious Stones of the Russian Federation, is set to start buying gold again on the domestic market in 2014 after a two-year break.
Annual purchases by state repository Gokhran may also include palladium and silver.
State-run news service reported, citing an unidentified official with knowledge of the matter, that Gokhran may buy 7 to 10 tonnes (225,050-321,500 troy ounces) of gold in addition to purchases of the Bank of Russia, the Russian central bank.
RIA, The Russian State News Agency, reported that the resumption of purchases depends on approval of amendments by lawmakers during the Duma fall session.
Gokhran's holdings are not part of Russia's more than $500 billion in gold and foreign exchange reserves held by the central bank, which include 32.0 million troy ounces of gold, according central bank data as of May 1.
Cross Currency Table - (Bloomberg)
In 2009, Gokhran sold 30 tonnes of gold to the central bank, in a deal valued at $1 billion that covered part of a budget deficit resulting from the 2008 global financial crash and subsequent recession.
The repository used to buy 3-5 tonnes of gold by advance payment to domestic producers.
Gokhran could face challenges returning to the gold market as it would have to compete with commercial banks which are buying gold on the domestic market and to offer miners better terms, said Sergei Kashuba, the head of the Russian Gold Industrialists' Union.
Russia's 2013 gold production is likely to rise by 3.5%, year-on-year, to 233.8 tonnes.
While the source did not specify how much palladium Gokhran may buy from the market, its sales of the metal from stocks have helped keep the global palladium market in surplus for eight of the last 10 years. These stocks are almost depleted now, according to platinum refiner Johnson Matthey.
Has Gold's 'Bubble' Burst Or Is This A Golden Opportunity?
Our recent well attended webinar has been uploaded to YouTube.
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* Outlook For Gold And Silver This Year and Coming Years
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NEWS
Gold Climbs on Haven Demand After China’s Inflation Accelerates - Bloomberg
Gold rises the most in seven sessions, China data helps - Reuters
Gold in Japan ETF Expands 10% as Price Drop Entices Buyers - Bloomberg
China’s gold imports still at unprecedented highs - Mineweb
COMMENTARY
Why I’m Not Selling My Physical Gold - MoneyWeek
Gold Is Insurance Against War, Financial Armageddon and Wholesale Currency Debasement – Project Syndicate
Jim Rogers: Gold Is Headed Toward $900 – NewsMax
European Crisis Creates Gold Bulls – Wealth Dail
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-- Posted Tuesday, 9 July 2013 | Digg This Article
| Source: GoldSeek.com
