Posts tagged as:
“Just allow it…just admit it. It doesn’t matter where the inflation comes from. Just let it stay…”
SLASHING the Bank of England’s base interest rate to an historic low of 0.5% was supposed to “rebalance” the economy…tipping it away from galloping consumption towards an export-led recovery.
But all that the Pound’s slump since rates began sinking in March 2008 has done so far, however, is gift a 50% gain to UK gold owners.
{ 2 comments }
THE GOLD PRICE ticked higher for US and Euro investors early Monday but held inside a tight range while Asian stock markets closed the day 1% lower and European shares rose.
Little economic news was due for release as US markets stayed closed for Martin Luther King Day.
Government bonds were flat across the board. Commodity prices dropped 1% on average, as crude oil held below $79 per barrel and foodstuffs fell.
“Gold and silver were driven up by platinum and palladium,” says one Tokyo dealer of the overnight action, noting “aggressive buying” of platinum-group metals after last week’s launch of exchange-traded PGM products for US investors.
{ 0 comments }
THE PRICE OF GOLD sank through $1200 an ounce for the first time in 3 days on Friday, falling fast to $1190 and below on news that US unemployment rose by just 11,000 last month.
Wall Street analysts had expected 111,000 job losses for November. The unemployment rate ticked down to 10.0%.
“We are bullish while [gold] achieves fresh highs, but cautious of any quick reversal,” said the latest technical analysis from Scotia Mocatta this morning, suggesting a trailing stop loss “below 1183 for short-term traders.”
{ 25 comments }
THE PRICE OF GOLD in US Dollars retreated from a fresh 0.7% surge early in London on Thursday, falling back from a new all-time record of $1123 an ounce as Asian stock markets closed the day lower.
Crude oil fell below $79 per barrel – higher by more than 75% from this time last year – while government bond prices rose.
The US Dollar bounced 1% from Wednesday’s near-15 month low to the Euro.
Gold priced in both Euros and Sterling rose to fresh 8-month highs, hitting €748 and £677 an ounce respectively.
{ 0 comments }
A single chart of gold priced in the world’s top 10 currencies, weighted for GDP…
ONE THOUSAND DOLLARS doesn’t buy what it used to – not for non-US investors, at least.
Back in March 2008, when the gold price first broke $1,000 an ounce, the Euro equivalent peaked just shy of €660. Sterling investors here in the UK saw the price touch £515 an ounce.
Yes, both of those figures – like the USD gold price – were then new record highs. But come the next test of $1,000 per ounce, four months ago in Feb. 2009, the Euro price reached 20% higher to touch €795. The UK value-of-gold peaked 35% above that previous $1,000-equivalent, up at £700 per ounce.
Today, however, and with analysts watching for less than a 2% move in gold before it re-tests that $1,000 mark for the third time, Eurozone and British investors are well off the mark. February’s all-time peaks in Euros and Sterling stand almost 15% higher from here.
All of which shows what exactly? First, anti-inflation and crisis insurance just got cheaper for European savers. So second, the $1,000 mark may not prove quite the hurdle it did in March ‘08 and again in Feb. this year.
{ 0 comments }
|
FREE SUBSCRIPTION
Wouldn't it be nice to have your own private cheat sheet on the markets each day, sorting out for you what news and data really matter to your money? That's why we're pleased to bring you Money Morning each day. It is your own personal stock market intelligence service.
Enter Your e-Mail Address to Sign Up Now
|
| All Ordinaries | 4831.50 | ||
| S&p/asx 200 | 4818.10 | ||
| Nzx 50 Gross Inde | 3225.14 | ||
| DJIA | 10624.69 | ||
| NASDAQ | 2367.66 | ||
| S&P 500 | 1149.99 | ||
| Ftse 100 | 5625.65 |