Gold and What Moves it.
85.1K views | +0 today
Gold and What Moves it.
Tracking all things that relate to and affect the price of gold.
Curated by Hal
Your new post is loading...
Your new post is loading...
Scooped by Hal
Scoop.it!

India Gold imports grew as demand surged

India Gold imports grew as demand surged | Gold and What Moves it. | Scoop.it
India's gold imports grew 12% year-on-year to Rs 2.75 lakh crore in April 2012-February 2013 with the bulk of the buying coming in the past few months when prices headed south.

 

NEW DELHI(BullionStreet): World's largest gold consumer India's demand multiplied after the recent gold plunge and that in turn resulted in increased import of the yellow metal.

 

People turned up in sizable numbers at jeweleries across the country as primary dealers of gold in India struggled to keep pace with robust demand quoting higher premiums, even as prices recovered partially from their lowest level in more than 18 months. ...

Hal's insight:

I guess they know a good bargain when they see one.

more...
No comment yet.
Scooped by Hal
Scoop.it!

On the Verge of a New Monetary Order and Gold's Rise | Hubert Moolman | Safehaven.com

On the Verge of a New Monetary Order and Gold's Rise | Hubert Moolman | Safehaven.com | Gold and What Moves it. | Scoop.it
The last three major bull markets of the Dow were followed by some type of economic crisis and a major bull market in gold. This is no coincidence, since these massive bull markets have been mostly driven by the huge expansion of ...

 

...there is a deflation coming, and gold will prove to be the currency of choice.

more...
No comment yet.
Scooped by Hal
Scoop.it!

One Of The World's Biggest Gold Bulls Explains What It Would Take For Him To Turn Bearish

One Of The World's Biggest Gold Bulls Explains What It Would Take For Him To Turn Bearish | Gold and What Moves it. | Scoop.it

Rickards told Business Insider:

 

What would make me bearish on gold, what would make me want to sell gold?

 

Well, if the President and the Chairman of the Fed came out and said, "We're going to raise interest rates, we're going to stop quantitative easing — in fact, we're going to reverse it a little bit — we're going to cut corporate taxes to zero, we're going to eliminate the capital gains tax, we're going to reduce regulation, we're going to make America a magnet for savings and investment. We're going to have an investment-driven model rather than a debt and consumption-driven model, and we're going to have positive real rates."

 

I would say, "Great. Sell your gold, or put it to one side, because gold is over."

 

But none of those things are true ...



Read more: http://www.businessinsider.com/what-would-make-jim-rickards-sell-gold-2013-4#ixzz2ROo6OZCz

Hal's insight:

Hat tip to http://www.caseyresearch.com/gsd

more...
No comment yet.
Scooped by Hal
Scoop.it!

Gold & Silver Prices: 3 Critical Questions To Ask?

Gold & Silver Prices: 3 Critical Questions To Ask? | Gold and What Moves it. | Scoop.it

Taki Tsaklanos: We wrote about the great disconnect between physical and paper silver only a few weeks ago. After the sharpest one-day price drop since 2001 the disconnect between physical and paper is becoming even larger. It is now present in both metals.

 

On Friday, even the World Gold Council came out with a press release in which they confirm (1) speculation in the futures market as the primary reason for the price drop and (2) the massive wave of physical buying across the globe. “We are already seeing shortages for bars and coins in Dubai, while premiums in Mumbai are at $26/oz and $6 in Shanghai, indicating that buyers are willing to pay more than current spot prices for the metal.”

 

Let’s quickly review what we learned in one of the most volatile weeks ever ...

more...
No comment yet.
Scooped by Hal
Scoop.it!

Economist Polleit acknowledges gold market rigging | Gold Anti-Trust Action Committee

Economist Polleit acknowledges gold market rigging | Gold Anti-Trust Action Committee | Gold and What Moves it. | Scoop.it

Investment banker and economist Thorsten Polleit today acknowledges to financial journalist Lars Schall, writing for Matterhorn Asset Management's Gold Switzerland Internet site, that the gold market is anything but free.

 

"A free market means that there is a free supply of and a free demand for gold that determines its purchasing power," Polleit says. "However, government-sponsored central banks also play a role in affecting the supply of and demand for gold through, for instance, lease transactions. In that sense market conditions are influenced, and at times greatly so, by government interference -- and therefore do not correspond with the principles guiding a free market." ...

more...
No comment yet.
Scooped by Hal
Scoop.it!

Gold Trader: "If You Put 60" TVs On Sale For $100, They'll Fly Off The Shelves---That's What's Happening In Gold" | Bull Market Thinking

Gold Trader: "If You Put 60" TVs On Sale For $100, They'll Fly Off The Shelves---That's What's Happening In Gold" | Bull Market Thinking | Gold and What Moves it. | Scoop.it

Following last week’s panic sell-off in gold (and resultant explosion in physical buying worldwide), one of the world’s top gold traders and recent interview guest, Gary Savage, shared some powerful commentary on the psychology of these buyers.

 

Gary said, ”The buying frenzy we’re seeing in the gold market isn’t dumb money buying at a top. This isn’t the same thing as we saw in the real estate market in 2006 and tech in 2000. That was every Tom, Dick, Harry and Jane chasing a parabolic move expecting to get rich quick with no effort. That was people looking for a free lunch.


We don’t have those kind of conditions in the metals market at this time. On the contrary gold is making new lows, not new highs. There is no parabolic move, and there never was. In a true bubble, a market will increase 200-500% in a year and a half. Oil doubled in a year and a half. The Nasdaq tripled. Gold was barely able to pull off a 170% increase over a three year period. That isn’t even vaguely parabolic.


No sir, the buying we are seeing now is a result of prices being artificially suppressed below the natural market value. I used the analogy in the weekend report of Walmart putting 60 inch TV’s on sale for $100. Of course that is going to cause a supply problem,[because]$100 is too cheap. Those TV’s are going to evaporate off the shelves in minutes. If nothing else people will buy them for $100 and then sell them on Ebay for $200 or $300 once the sale ends. ...

more...
No comment yet.
Scooped by Hal
Scoop.it!

Trader Dan's Market Views: Hacked Twitter Feed for AP sends Markets Careening

Trader Dan's Market Views: Hacked Twitter Feed for AP sends Markets Careening | Gold and What Moves it. | Scoop.it

I view this incident as further evidence that the US equity markets are floating higher and higher on nothing but a bubble of air. Those who continue to chase stocks higher based on nothing but liquidity injections are playing a fool's game. 

I look at today's one minute collapse in prices as a warning of what will happen to this market when all of these hedge funds who keep jamming these markets higher decide to stop buying. At some point, who in the hell are they going to sell to when the bell is rung??? ...

more...
No comment yet.
Scooped by Hal
Scoop.it!

Gold: Delivery or Default?

Gold: Delivery or Default? | Gold and What Moves it. | Scoop.it

 I've come to the conclusion that the current situation is far more complicated than I had expected it to be. Rather than a simple sell-stop washout, it seems that there is something considerably more serious lurking just behind the scenes and out of our field of vision.

Yesterday, I had a conversation with an old friend. He's a sharp guy who has been in financial services industry for over 20 years. He reads this site and has come around to the idea of "market management", not just in the metals but nearly everywhere. He asked me two simple questions:

How? How did the big banks get in this position of being so heavily short?Why? Why are they heavily short and what are they trying to accomplish?

Because we were trying to get caught up after after having lost track of each other for several months, I only had the time to answer a ...

Hal's insight:

Interesting read. Click through for the rest.

more...
No comment yet.
Scooped by Hal
Scoop.it!

oftwominds-Charles Hugh Smith: Why Krugman and the Keynesians Are Lackeys for the Neofeudal Debtocracy

oftwominds-Charles Hugh Smith: Why Krugman and the Keynesians Are Lackeys for the Neofeudal Debtocracy | Gold and What Moves it. | Scoop.it

If you set out to design a system that would implode with devastating consequences, it would be the Keynesian Cargo Cult's neofeudal financialization debtocracy.

The heart and soul of the Keynesian Cargo Cult is the dogma that the cure for all economic ailments is more aggregate demand, i.e. consumption. The Keynesians' fanatic faith in boosting consumption would be merely childishly naive if it didn't directly support a parasitic neofeudal debt-serfdom. Sadly, Krugman and his fellow cultists' single-minded parroting of "aggregate demand" makes them well-paid lackeys and toadies for an extractive neofeudal-neocolonial debtocracy. ...
Hal's insight:

I always read what Mr. Smith writes. You might want to check out his books as well.

more...
No comment yet.
Scooped by Hal
Scoop.it!

Gold: Been There, Done That And Bought The T-Shirt | John Ing | Safehaven.com

Gold: Been There, Done That And Bought The T-Shirt | John Ing | Safehaven.com | Gold and What Moves it. | Scoop.it
Gold collapsed over 14 percent in the sharpest tumble since 1983 raising fears that its twelve year bullion is over. Some blame the collapse on the fear that Cyprus and other weakened European countries would have to dump their gold reserves.

 

Gold's obituary is premature.

more...
No comment yet.
Scooped by Hal
Scoop.it!

Russian CB ready to provide $60 billion to support domestic banks — RT Business

Russian CB ready to provide $60 billion to support domestic banks — RT Business | Gold and What Moves it. | Scoop.it

The Russian Central Bank says it’s ready to make available between 1.5 and 2 trillion roubles ($47.2- $62 billion) to domestic financial institutions if the situation in the banking sector worsens. 

 

The announcement was made by the outgoing governor of the Russian CB Sergey Ignatyev during a special meeting on the measures of securing sustainable economic growth in Russia with Russian President Vladimir Putin. 

 

Ignatyev said that he estimates the current situation as stable. He underlined that last year nominal lending increased 20%, adding that liquidity was in his words 'normal'.


“I wouldn’t say the situation with lending is bad, it is rather what we want it to be,” Ignatyev is quoted by Interfax as saying. “Growth of around 15%-20% in nominal terms is a normal growth for the present situation in Russia.”

 

He added that in case the situation with liquidity worsens, “the Central Bank is ready to provide up to 1.5-2 trillion rubles using traditional instruments of refinancing." ...

more...
No comment yet.
Scooped by Hal
Scoop.it!

Notes From Underground: A Day of Disconnects In Global Markets, Or a Ball of Confusion

Notes From Underground: A Day of Disconnects In Global Markets, Or a Ball of Confusion | Gold and What Moves it. | Scoop.it

First, I need to clear the air on an issue that is cited over and over, of which causes me great discomfort. In last Thursday’s Financial Times, Robert Pollin and Michael Ash, the two professors who sponsored graduate student Thomas Herndon of UMass-Amherst–and of recent fame for finding the flaws in Rogoff/Reinhart–published the article heard round the world: “Why Reinhart and Rogoff are wrong about austerity.” I am not disputing the results of their work but I am questioning a causal relationship that they note:

 

“In fact, since 2009 ,the U.S. government’s interest payments on debt have been at historically low levels, not historic highs, despite the government’s rising level of indebtedness. This is precisely because the U.S. Treasury has been able to borrow at low rates throughout these high deficit years.”

 

Sorry, but to merely state that low U.S. debt costs are proof of Rogoff being wrong is pure hogwash on its own merit. The FED has been subsidizing the Treasury through its massive large-scale asset purchases (LSAP). This support from the world’s largest monetary authority has meant that the market has not been the mechanism for setting prices. Government intervention with the announced purpose of keeping bond and MBS rates low cannot be cited as a reason that Rogoff/Reinhart are wrong. Come back when the FEDremoves itself from active involvement and make the case. Artificial price controls do not make an objective study.

 

***Disconnect number one: The Italian government bonds were well bid today in the face of rolling back austerity after the IMFmeeting. In fact, the two-year note yield made a record low ...

more...
No comment yet.
Scooped by Hal
Scoop.it!

Sinclair - This Is The Beginning Of The End For The Gold Shorts

Sinclair - This Is The Beginning Of The End For The Gold Shorts | Gold and What Moves it. | Scoop.it

Sinclair:  “I think it’s critically important for investors to realize that the COMEX warehouse is not going to wait for significant further declines in their inventories before they adjust their settlement mechanism.

 

Yesterday we pointed out that during the Hunt crisis there was this type of adjustment made by the COMEX  Board of Directors.  We also quite clearly demonstrated that there is a strong correlation between the present lack of supply in the gold market and what happened back in 1980.

 

So any further significant drawdowns on the COMEX warehouse are going to cause to the COMEX go to a new type of settlement.

 

This will be either a cash settlement, or settlement in shares of an exchange traded gold ETF. ...

Hal's insight:

That picture King World News uses, always makes me cringe.

 

Click through for the rest.

more...
No comment yet.
Scooped by Hal
Scoop.it!

Did gold really disappoint as a “safe haven”? - Mineweb.com

Did gold really disappoint as a “safe haven”? - Mineweb.com | Gold and What Moves it. | Scoop.it

uthor: Julian Phillips
Posted: Wednesday , 24 Apr 2013 

JOHANNESBURG (GOLDFORECASTER) - 

What is a “Safe-Haven”?

 

It should be defined as a long-term investment that holds its value internationally, in extremefinancial times. Is gold one of these? After all, it has fallen from $1,921 at its peak to $1,344 at its trough. This is a 30% fall over the last year plus. At one time George Soros described gold as the “Ultimate Safe-Haven”, before saying it was a “disappointing Safe-Haven”. Alan Greenspan described gold as being “money in extremis.” 


The SPDR gold ETF

 

In the “Bear Raid” we have seen over the last fortnight when gold was smashed down $200 after declining $100 before that, the physical gold sales came almost exclusively from the SPDR gold ETF before being accompanied by a massive 400 tonne gold short on COMEX. In addition, two large U.S. banks, Goldman Sachs and Merrill Lynch appeared to act ‘in concert’ to ensure the raid was successful.

 

Until this year the holding of the gold ETFs did not move except slightly as its shareholders were long-term investors not traders in the gold price for profit. They hold gold for wealth protection in the long-term.  ...

more...
No comment yet.
Scooped by Hal
Scoop.it!

Ronald Stoeferle: "Last Week We Were Really Close To A Default of The 130-to-1 Paper Gold Market" | Bull Market Thinking

Ronald Stoeferle: "Last Week We Were Really Close To A Default of The 130-to-1 Paper Gold Market" | Bull Market Thinking | Gold and What Moves it. | Scoop.it

I had the chance to reconnect today with one of the young emerging leaders of the gold market, Ronald Stoeferle, publisher of “In Gold We Trust”, the world’s definitive annual report on gold.

 

During this fascinating interview, Ronald spoke to what contrarian buyers are doing right now, and further explained, “the point of maximum pessimism” has been reached, to where in response, staggering physical demand nearly broke the leveraged paper gold system over the last week. 

 

Starting out by commenting on the ugly sentiment displayed at last week’s European Gold Conference in Zurich, Ronald said, “If you compare the situation at the hotel bar to last year and the year before…[patronage] increased dramatically—so people were really frustrated. From a psychological point of view, it was a really interesting time to attend a gold miners conference…[because] last year’s sentiment was already extremely negative, [but] this year it was just horrible…I think this was a gathering of the last [remaining] gold bulls in Europe.” 

 

Further speaking to sentiment, Ronald added that, “We’ve already reached the point of maximum pessimism…We’ve seen a huge move downwards, extremely high volume, and the ‘bursting gold bubble’ [headline]…all over Europe, and all over the world. That’s a textbook panic…[Additionally], there were 15 journalists calling me on Monday…[including] many former colleagues, people who haven’t called me in years and they were [all] really panicking…They have no clue what’s going on, [and] they [all] think…Cyprus was responsible for this take-down…[So] over the last week we’ve seen desperation, panic, and anger.” ...

more...
No comment yet.
Scooped by Hal
Scoop.it!

India gold premiums soar as demand outstrips supply | Gold Anti-Trust Action Committee

India gold premiums soar as demand outstrips supply | Gold Anti-Trust Action Committee | Gold and What Moves it. | Scoop.it

NEW DELHI -- Indian gold retailers are paying more in order to meet immediate demand, as customers scoop up every gold bar they can lay their hands on in the wake of a plunge in international prices.

 

Indian retailers say they are paying premiums of $8-$10 an ounce over the international gold price, which is around $1,425 a troy ounce. That's four or five times the premium retailers usually pay for imported gold during periods of peak demand in India, according to traders.

 

"We have not seen this kind of premium on gold imports in years," said Suresh Hundia, president emeritus of the Bombay Bullion Association. ...

more...
No comment yet.
Scooped by Hal
Scoop.it!

U.S. Mint Runs Out of Gold Bullion Coins

U.S. Mint Runs Out of Gold Bullion Coins | Gold and What Moves it. | Scoop.it

We already knew from numerousprevious reports that demand for physical gold and silver has soared since the early April precious metals crash.  Further confirmation of vanishing physical gold and silver inventory was provided today by the Untied States Mint.  Authorized purchasers of gold and silver bullion coins were informed by the U.S. Mint that sales of the one-tenth ounce American Eagle bullion coin would be immediately suspended due to depleted inventories of the coin.

 

As short term paper speculators run from the precious metals markets, long term investors have been lining up around the block to buy physical gold and silver.  Numerous coin and bullion dealers have reported growing shortages of gold and silver and premiums have expanded as demand overwhelms supply. ...

more...
No comment yet.
Scooped by Hal
Scoop.it!

Silver price prediction based on hope!

Silver price prediction based on hope! | Gold and What Moves it. | Scoop.it

Silver futures continued to trade in a narrow range once again today, desperately trying to find some traction in the $22 per ounce level, following the dramatic falls of last week, which saw the metal plunge through the floor of potential support in the $26.50 region and on down to test the next major level at $20 per ounce. This still looks the likely target for silver which remains heavily bearish, and today’s positive move higher on the dollar index, has done little to help the recovery, with the contract currently trading at $22.92, down from the open at $23.34 per ounce.

 

Over the last few days we have seen every attempt to rally fail, and even the isolated pivot low coupled with a doji candle, failed to spark any momentum, with the $24 per ounce level, now starting to build it’s own resistance area. ...

more...
No comment yet.
Scooped by Hal
Scoop.it!

The USD Reserve Exodus Continues - Australia Diversifies Reserves Into China | Zero Hedge

As we have discussed numerous times over the past year, there is a quiet movement among the world's central banks to diversify their reserves away from the pejorative USD. Whether it is direct trade linkages, hording physical precious metals, or simply buying foreign sovereign debt, there is a trend emerging. The latest defection, as BusinessWeek reports, is Australia's plan to invest about 5% of foreign currency reserves in China. The decision "represents the first time that the RBA will have invested directly in a sovereign bond market of an Asian country other than Japan," the country's deputy governor noted, adding that this step was an "important milestone" to "stronger financial linkages" leaving Australia "better positioned to benefit from the shift in global economic growth towards Asia." Of course, palling up to its closest trade partner is a big driver, but in a somewhat barbed comment on the strength of the AUD, Lowe noted,"quantitative easing that has taken place in a number of countries is having a significant effect on exchange rates of freely floating currencies... which is clearly making for difficult conditions in certain parts of the Australian economy."

more...
No comment yet.
Scooped by Hal
Scoop.it!

Trader Dan's Market Views: US Mint Temporarily Suspends Sales of 1/10 ounce Gold Coins

Trader Dan's Market Views: US Mint Temporarily Suspends Sales of 1/10 ounce Gold Coins | Gold and What Moves it. | Scoop.it

Newswires today are reporting that the US Mint has temporarily suspended its sales of 1/10 ounce gold coins due to the surge in demand. Apparently there are insufficient supplies of the coins to meet current demand. A spokesperson for the mint says ...

more...
No comment yet.
Scooped by Hal
Scoop.it!

Richard Russell - the world is cautiously and steadily moving away from dollars.

Richard Russell -  the world is cautiously and steadily moving away from dollars. | Gold and What Moves it. | Scoop.it

... the world is cautiously and steadily moving away from dollars.  We hear about nations agreeing to trade with each other in their own currencies (in order to avoid trading in dollars).  We hear about nations moving dollars out of their reserves.  I'm predicting that these bearish (for the US) trends will accelerate.  These trends are forecasting the end of the US dollar as a wanted store of value. ...

more...
No comment yet.
Scooped by Hal
Scoop.it!

Gold prices start climbing but could face resistance at $1472 levels

Gold prices start climbing but could face resistance at $1472 levels | Gold and What Moves it. | Scoop.it
Comex June Gold is currently traidng at $1427 per ounce after having closed lower at $1408.8/Oz on Tuesday trade.

 

CHICAGO (Bullion Street): Comex Gold prices have started climbing back thanks to increased physicla buying on lower prices although shrinking assets in exchange traded funds casts doubt on a strong rebound in the metals complex.

 

Comex June Gold is currently traidng at $1427 per ounce after having closed lower at $1408.8/Oz on Tuesday trade. " On daily charts, a recovery is seen with RSI of 35.87 signalling the withdrawal from oversold territory. MACD is still in negative but still below moving average of 1501.10," according to Sreekumar Raghavan, Chief Strategist at Commodity Online Group. US gold futures may face some resistance at $1472 levels before it can climb above $1500, he added. ...

more...
No comment yet.
Scooped by Hal
Scoop.it!

Australian Gold Stocks and a Gold Perspective | Neil Charnock | Safehaven.com

The gold bull is in a deep correction phase, the first in the 1999 to 2013 bull to date. The Aussie dollar has remained stubbornly high as our extensive research predicted this indicated many months back. This is exacerbating woes for many local miners. The dead cat bounce in the gold stocks is pathetic on the ASX, even worse than gold indicating further falls to come.

 

Things are getting further and further out of hand in the global financial system as gold commentators have been warning for over 12 years. There is also bull dust of all descriptions flying in all sorts of directions in the media at present. Chinese GDP growth has suddenly become another reason to sell gold yet it is still astounding when you look at the value of the expansion. Only a few years back in 2007 the total Chinese GDP was US$3.4T. To put a scale to this a 10% growth rate would have amounted to $340B only six years ago right before the GCF event.

 

The IMF estimate for 2012 Chinese GDP is $8.23T so the "disappointing" 7.7% annual rate for the last quarter is now equivalent to $633B. This is a staggering increase at nearly double the gross 2007 figure at the current rate of growth. The gross value of growth is falling however and this is a valid concern however you need to keep this in context. Do economists and the media honestly expect China to grow the world's second largest single economy at a constant percentage rate on an ever increasing scale? This is a ludicrous idea in a finite world. Demographic and economic factors aside the demand for metals is still increasing over the longer term in China.

 

Of course there is considerable concern about structural imbalances in the Chinese economy and how this affects their consumption of certain metals and so there should be. The world has been increasing supply, clamouring to meet the expected demand so it is all a matter of balance. The Chinese are also pro-active in developing Africa and elsewhere also for their future needs. Their demand for metals will change as their economy evolves, and at times falters, however I would not expect gold to lose its appeal in Chinese culture or from the perspective of their geopolitical agenda. ...

more...
No comment yet.