Gold Shows Signs For Bullish Optimism

At first glance it looks as if gold has not done a lot this week but looking beneath the obvious there are encouraging signs for bullish optimism. Since the plunge earlier this month there have been indications that could be interpreted that the gold bull market may be coming to an end. Read more

Gold And Silver Sink

From a peak of over $1220 an ounce at the beginning of December the spot gold price has sunk today to just $1080 an ounce, with silver following suit from touching $19.50 an ounce to below $17.00 an ounce.

So why the loss of faith in the safe haven metals as governments keep churning the money printing machines hoping that pumping and priming their pet projects for garnering popularity and keeping the recession at bay will continue to meet with instant public approval? Read more

Gold and Silver Set To Go Off With A Bang

Gold and silver have started the shortened US trading week with a bang.

Eastern trading saw the metals advance into higher territory with early morning in Europe consolidating the gains.

Gold has powered through $1005 and as we write (03:50 EST) and has touched $1006.50.

Silver has fared even better with a 3% rise since Friday’s close to $16.75 an ounce. Read more

Ben Bernanke’s Four Options

US Fed Chairman, Ben Bernanke, tells us that slack in the economy will tend to suppress inflation and that he has four options for removing excess liquidity.

In other words reversing the effect of the (so far) one trillion dollars of cash and new money pumped into the US economy. Hints that monetary policy will not be tightened “ for an extended period” do not suggest to us that the “green shoots” are expected to burst into flourishing growth any time soon. Read more

Gold, Silver and Platinum All Fall

Gold, Silver and Platinum all fall to two month lows before gold crawls back from below $906 an ounce to $914 an ounce in Thursday’s NY morning trading.

That gold has lost its lustre in the last few weeks is as much due to its midsummer annual doldrums as any other single factor. Read more

Central Banks Selling Off Their Gold Reserves | The One Sure Safeguard.

Long gold – short article. No point in keeping on going over old ground.

The facts are simply stated. The US, ECB, UK and many other nations are continuing to pump new money into their financial systems in the hope that more borrowing will be stimulated to get economies moving forward.

It was borrowing in excess that got us into this mess so how can more borrowing be anything than, at best, a very short-term respite?

Even worse central banks and the IMF, with the honourable exceptions of Germany and Italy have been selling off their gold reserves, the one sure safeguard against the soon to be rapidly increasing erosion of paper currencies. Read more

Is Gold Range Bound Waiting to Break Out?

Spot gold continues to stay in the $880 to $900 price range as indecision reigns in stock markets.

Investors are unable to decide whether stock markets are in a bear market rally or that the ‘green shoots of growth’ that politicians are fond of telling us has become a reality.

The question we wish we could confidently answer is whether gold is range bound just waiting to break out? Read more

Does the Rally in Gold Reflect the End of a Bear Market Bounce?

Looks like the recent rally in stocks is over as markets react to gloomy forecasts for the current earnings season reports, kicked off by Alcoa (AA) worse than forecast losses for the quarter.

Tuesday’s New York close saw spot gold rally to $884 an ounce a rise of $12 from the open. Wednesday’s Asian trading sustained the rise while at 10am GMT in Europe the price had risen to $888 an ounce.

To us, this rally in gold reflects the end of the bear market bounce we have been witnessing during the last week or so. Read more

Three Possible Outcomes To Gold Scenario

Stock markets in Asia and Europe continued last week’s show of strength in trading sessions this Monday morning with indications that New York will follow suit.

Base metals and miners were among the leaders but last weeks fall in gold and silver gathered pace hitting $874 an ounce before staging a slight recovery to $880 an ounce possibly only due to short covering.

Rebounding equity markets, an improvement in sentiment in the belief that government bail outs are showing signs of working, increased investor risk appetite and the IMF’s impending sale of 403 tonnes of gold are taking their toll on precious metal prices. Read more

Gold Bubble Driven By Inflationary Concerns

Gold stays firmly in the news as today’s’ ‘Prudent Bear’ financial column in the UK’s  Daily Telegraph and written by Martin Hutchinson suggests that ‘ a gold bubble driven by inflationary concerns may (now) be inevitable.’

Quantative easing, politico speak for money printing, is having its inevitable effect on the dollar, pound and Swiss franc as they decline against currencies that have yet to embrace this questionable economic cure, although the Euro has so far not yet succumbed to the temptation.

We don’t know how long for, but sooner rather later seems a safe bet. Read more

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