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Gold Today –New York
closed at $1,712.70 up $5.7. This morning, Asia and London dealers are trying
to pull it back to $1,700. But it Fixed at $1,704.00 and in the euro at
€1,316.440 €5 lower while the euro was at €1: $1.29.44
almost the same a yesterday. Ahead of New
York’s opening gold stood at $1,704.33 and in the euro at
€1,319.91.
Silver Today –
Silver closed higher at $32.12 up 50 cents in New York yesterday. It then
dropped to $31.71 as it continued to consolidate ahead of New York’s
opening.
Gold (very short-term)
Gold will
consolidate with a weaker bias, in New York today.
Silver (very
short-term)
Silver will
consolidate with a weaker bias, in New York today.
Price Drivers
Gold & Silver – The pervasive
influence of the slowing global economy on the back of warnings from the
world’s most responsible monetary bodies continues to erode market
values including those of gold and silver. The gold price looks to be holding
the $1,700 level but it needs further demand to lift it higher. With Indian
demand back in the market ahead of Diwali and lower Rupee gold prices, demand
from that quarter is rising. Likewise, Chinese demand is again on the rise as
China’s economy looks to have bottomed and is turning up there, ahead
of the changing of the guardians of that nation later this year. [To follow our weekly commentary, please subscribe to our newsletters at www.GoldForecaster.com and www.SilverForecaster.com]. We are of the opinion that central bank demand will rise in line
with the amounts available from selling as the gold price pulls back from
near $1,800 to $1,700. A rising gold price implies lower amounts of gold
available and central banks won’t chase prices. The recent fall is the
climate in which they pick up decent volumes.
The force of their buying is certainly supporting the trend of the gold
price as they can easily adjust the amounts they buy subject to volumes
offered. Certainly, there is no good reason why they will cease buying. The
sales of gold by some central banks are good housekeeping moves, we believe,
not changes of policy.
Silver – Silver continues to be moved by its monetary appeal not industrial
demand.
Regards,
Julian D.W. Phillips
for the Gold & Silver Forecasters
Global
Gold Price (1 ounce)
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Today
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3 days ago
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Franc
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Sf1,598.10
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Sf1,598.10
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US
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$1,712.12
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$1,712.12
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EU
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1,320.74
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€1,320.74
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India
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Rs.91,863.21
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Rs.91,863.21
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