Gold & Silver Market Update 5/17/2012
Gold Today – New York bounced back to $1,550 yesterday and Asia and London held it in that region today ahead of the gold Fix. The euro was weaker at €1: $12707. This morning in London, gold Fixed at $1,547.00 and in the euro at €1,217.439 up €10. Ahead of New York’s opening it looked slightly weaker at $1,546.50 and in the euro, which also continued to slip, €1,217.81 while the euro was at €1: $1.2699.
Silver Today - Silver closed at $27.50 in New York and rose in London opened at $27.53. Ahead of New York’s opening it stood at $27.47.
Gold (very short-term)
Gold is looking to consolidate around current levels, today in New York.
Silver (very short-term)
Silver is looking to consolidate around current levels, today in New York today.
Price Drivers
Gold – Despite the euro continuing to weaken, the gold price bounced back from the low point of $1,518 to $1,550 where it is now looking to consolidate. Short-term traders are cautious at these levels. Many have interpreted the currency moves as a strong dollar, rather than a weak euro [weakening the currencies of the Eurozone’s trading partners alongside it]. Would it be right to see the gold price simply moving with the euro [rather than a counter to the dollar]? We would argue that gold is a counter to all currencies, which is the reason it is held in central bank reserves today] The implications are that it will rise in the euro too, when it does. To link it myopically just to the dollar would not explain its rise from €300 to today’s €1,200. It is this larger perspective that will account for its future prices in the world’s different currencies.
The lackluster Indian buying we have seen since the start of the jeweler’s strike there has been compounded by the weakening of the Indian Rupee. Yesterday the Reserve Bank of India stepped into the market to defend the Rupee. Currently it stands at Rs.54.50 against the U.S. dollar having fallen in the last year from Rs.42 to the U.S. dollar. Their intervention into the Rupee market may halt the rise of Rupee gold and silver prices and reflect only the change in the dollar price of gold. This would make the Rupee gold price conform much more to the international price of gold as seen in the dollar and the euro. We are seeing a pick up in Indian demand as the marriage season comes to life this month and perhaps because of the stabilizing of the Rupee?
Silver – Silver has been a bit slower to respond to the change in the gold price in the last day as investors in the Americas take a ‘wait and see’ attitude to the gold price. [To follow our weekly commentary, please subscribe to our newsletters at http://www.parkavenumis.com/newsletter/
Park Avenue Numismatics Launches Mobile Website
m.parkavenumis.com
We are pleased announce today the launch of our mobile version of our online Rare Coin and Bullion website to mobile site m.parkavenumis.com Inspired by an increasingly mobile society, this development is a natural progression in serving you better.
As a preferred on-line subscriber if you download the site you will be entered into a drawing for a US Gold coin each month.
We’re constantly striving to stay at the forefront of technology. Our website parkavenumis.com originally launched in 1995 and we consider ourselves a pioneer using the world wide web, In order to help serve you as an on-the-go customer we understand that rare coins and precious metal markets move quickly, and you need to stay up to date – where ever you may be at the time. The idea of a mobile website just makes sense. Get instant access anytime using your smart phone! Stay on top of precious metals markets and have access to thousands of coins right at your fingertips.
Notable features of the Park Avenue Numismatics, mobile website, m.parkavenumis.com - include:
<!–· Access from any Internet-Capable Cellular Phone: The mobile site was designed to give Smart Phone users the ability to easily access spot pricing, product pricing and information, picture viewing capabilities, as well as, current news, articles & upcoming coin show schedule information. In addition, existing users have instant access to their Park Avenue account or Open a new account. To this end, the mobile website has been designed for ease of access from any internet-capable cellular phone, including iPhone, Blackberry, Android and Windows phones, without the need to download a program or application.
<!–·Access to Inventory with real time sync: Striving to add to the growing list of mobile-friendly websites and create a better customer experience, Park Avenue Numismatics includes an easy-to-use inventory function on our mobile website. For ease of navigation, this feature allows customers to find products by browsing multiple coin categories. Each time when new inventory is uploaded, Mobile site will sync and update the categories with products
<!–·Real Time Purchasing: The mobile site is designed to give Smart Phone users the ability to purchase with a click of button and mobile security SSL to encrypt their credit card information for privacy.
<!–·Live Spot Pricing: Rare Coin and Bullion investors closely watch spot prices, and Park Avenue Numismatics is committed to helping investors make smart purchases. The new mobile website includes a feature which extends this information on a moment-to-moment basis. A live feed provides viewers with up to the minute precious metals quotes instantly.
<!–·Click-to-Connect & Click to email: When the time and price is right to make a purchase, Park Avenue Numismatics mobile site makes it easy with a Click-to-Call and Email feature. With the click of one button, customers can be instantly connected to our Numismatic Advisors, who are ready to assist with the order or send an email for more information
To download go to m.parkavenumis.com or use the fast QR Code below for a shortcut to the mobile website.
Scan the Barcode to activate m.parkavenumis.com
CR Code to active m.parkavenumis.com
Scan the Barcode to activate m.parkavenumis.com
Gold & Silver Market Report 5/15/2012
Gold & Silver Market Report 5/15/2012
Gold Today – New York closed at $1,558.60 down $23 and held there in Asia as the selling seemed to have stopped for the moment. The euro stood at €1: $1.2863. This morning in London, gold Fixed at $1,559.00 down $5 and in the euro at €1,213.607 the same as yesterday. Ahead of New York’s opening it started to bounce and stood at $1,559.55 and in the euro, which also continued to slip, €1,212.90 while the euro was at €1: $1.2858. read more
Gold & Silver Market Update 5/10/2012
Gold Today – New York closed at $1,591.00. Asia lifted the price up to $1,594 early in London’s morning. The euro stood at €1: $1.2965 leaving gold in the euro at €1,229.46. The Fixing in London today was set at $1,590.00 up $8 and in the euro at €1,228.368 up €7. Ahead of New York’s opening it started to slip again and stood at $1,587.65 and in the euro, which also continued to slip, €1,227.41 while the euro was at €1: $1.2935. read more
Gold & Silver Market Update 05/09/2012
Gold Today – New York closed at $1,606.80. Asia and London then took the price down to $1,585 early in London’s morning. The euro fell below €1: $1.30 to €1: $1.2971 leaving gold in the euro at €1,221.96 down €27 on yesterday. The Fixing in London today was set at $1,585.50 down $42 and in the euro at €1,221.37 down 2€8. Ahead of New York’s opening it continued to slip to stood at $1,585.81 and in the euro, which also continued to slip, €1,222.68 while the euro was at €1: $1.2970. read more
Gold & Silver Market Update 5/08/2012
Gold Today – New York closed at $1,638.70. Asia then took the price down to $1,627 early in London’s morning. The euro remarkably has held above €1: $1.30 at €1: $1.3032 leaving gold in the euro at €1,248.47 down €10 on yesterday. The Fixing in London today was set at $1,627.00 and in the euro at €1,250.769. Ahead of New York’s opening it continued to slip to stood at $1,625.00 and in the euro, which also continued to slip, €1,249.66 while the euro was at €1: $1.3003. read more
Gold & Silver Market Report 05/07/212
Gold Today - After a weekend of critical European elections the gold price started the week in Asia lower at $1,638 lower in the dollar [-$3] but higher in the euro at just below €1: $1.30 then recovered. In the euro the gold price stood at €1,260 up €20 just ahead of London’s opening. There is no Fixing in London today as it is a public holiday. Ahead of New York’s opening it stood at $1,641.25 and in the euro €1,258.53 while the euro was at €1: $1.3041. read more
Gold & Silver Market Report 05/04/2012
New York closed Thursday at $1,637.10 and slipped in Asia and London to $1,633 ahead of London’s opening. The euro was slightly stronger at €1: $1.3141. Gold Fixed it at $1,629.50 down $13 and in the euro at €1,240.201 down €11.5, while the euro stood at €1: $1.31239. Ahead of New York’s opening it stood at $1,628.25 and in the euro €1,239.95 while the euro was at €1: $1.3131. Silver was$30.19 at the close in New York but opened in London at $30.19. Ahead of New York’s opening it stood at $29.81. read more
Gold & Silver Market Report 05/03/2012
New York closed Wednesday at $1,653.60 and slipped in Asia and London to $1,643.55 ahead of London’s Fixing. The euro was weaker from the start at €1: $1.3129 nearly a full cent weaker. Gold Fixed it at $1,642.50 down $10 and in the euro at €1,251.238 down €6.5, while the euro stood at €1: $1.3127. Ahead of New York’s opening it stood at $1,644.25 and in the euro €1,251.71 while the euro was at €1: $1.3136.
Silver was$30.65 at the close in New York but opened in London at $30.41. Ahead of New York’s opening it stood at $30.38.
Gold (very short-term)
Gold’s trading range should continue to narrow, with a weaker bias, in New York.
Silver (very short-term)
Silver’s trading range should continue to narrow, with a weaker bias, in New York.
Price Drivers
Each day we watch the gold price pressed down in Europe then lifted in New York after some gyrations both ways. This is why we have been highlighting the way the short-term factors have been clashing with long-term factors in a massive consolidation phase punctuated by short-term consolidation periods.
The two forces are now closing in on each other, taking gold and silver prices to the tip of a pennant formation that will take gold to a breakout, one way or the other in a very strong move. However, each day we may see price feints and give us small, dummy moves that mislead investors into thinking that it is happening.
The short-term factors are the Eurozone crisis events, regular jobs figures in the U.S. and the steady drip of information that we receive each day. The long-term factors are central bank and Asian demand.
But the clash between the two is not simply their weight of buying and selling but the difference between the short and long term buyer’s motives in doing so. Short-term traders are driven by profits either way. If they are to be made on the short side or the long side, so be it. That’s the way they will go. Hence, if long-term investor’s weight of long-term buying pushes traders out of their positions, traders will switch direction and go with them. The position now is that the last few weeks and months the weight of buying and selling has been coming into balance. But more is at stake then simply short-term profits, the establishment of direction for the next year and more, will be decided by the next big move. Will buying sag or will it rise? Whichever way it goes, the move could happen at any time!
Gold & Silver Market Report 05/02/2012
New York closed Friday at $1,661.70 and slipped in Asia to $1,656 ahead of London to $1,662.25. The euro was weaker at €1: $1.3212 50 cents weaker. Today, gold Fixed it at $1,652.50 down $4 and in the euro at €1,257.706 up a euro, while the euro stood at €1: $1.3139. Ahead of New York’s opening it stood at $1,652.00 and in the euro €1,257.04 while the euro was at €1: $1.3142.
Silver was$30.97 at the close in New York but opened in London at $30.87. Ahead of New York’s opening it stood at $30.60.
Gold (very short-term)
Gold’s trading range should continue to narrow, with a slightly weaker bias, in New York.
Silver (very short-term)
Silver’s trading range should continue to narrow, with a slightly weaker bias, in New York.
Price Drivers
Investors should continue to keep their eyes on the Indian Rupee, which is now almost crossing the Rs.53 to $1 level, keeping gold prices in India rising. Indian investors relate to Rupee prices of gold not U.S. dollar prices. If they were to see gold in U.S. dollar prices they would be buying now. Of course, it is the weakening in the value of the Rupee that should be prompting Indian investors buying, but this awareness is not the current perception there. What this shows us is just how easy it is to lose sight of the ball in the gold market. Most of our readers relate only to the dollar price of gold or secondly to the euro price. However, the gold price is a measure of the value of currencies and not the other way around where currencies measure gold. But with Indian demand reaching over 800 tonnes in a good year, out of 2,800 tonnes of newly mined gold supply annually [28%] this feature of the gold market is important. [To follow our weekly commentary, please subscribe to our newsletters at http://www.parkavenumis.com/newsletter/
While many believe that Chinese demand should be thrown in with Asian demand, it is very different from Indian demand in its nature. Chinese gold demand comes with no religious connotation, no family obligations to provide financial liquidity and security to daughters getting married but with the main common denominator of saving real money. Both types of demand are to ‘buy and hold’ for the long-term. Both believe that the rising price confirms the wisdom of further investment in precious metals [silver included] and do not look for a ‘top’ in which to sell. However, both can still be fooled into believing that a Yuan or a Rupee price measures the value of gold.
The Indian government will allow the Rupee to weaken and prefer that Indian investors change their attitude to gold as it reduces money supply to the broad economy [they ignore the black financial system], whereas the Chinese government encourages its citizen’s to investment in gold.