David

Market forces move gold lower While we have gold, prices come under substantial pressure over the last two weeks it had still managed to hold above key level of $1600 per ounce. This is in conjunction with U.S. equities markets trading under great pressure as they have lost value throughout this month. According to Reuters, “Wall Street’s three major indexes tumbled on Tuesday, with the Dow registering its biggest quarterly decline since 1987 and the S&P 500 suffering its deepest…

Plenty of gold sitting in 'wrong location' and in 'wrong form' — Scotiabank There is no shortage of gold out there, but there are some serious "physical bottlenecks" for certain gold products that are just sitting in wrong locations, Scotiabank said in its latest update. "If there were a major shortage of physical gold, spot gold prices would be trading at a premium to futures prices, which is not the case," Scotiabank commodity strategist Nicky Shiels said on Friday. This…

Gold edges lower as investors opt for cash amid deepening virus fears Gold prices edged lower on Monday as a flight to cash to cover losses in equities overshadowed measures by global central banks to contain the economic fallout from the coronavirus epidemic. Spot gold was down 0.2% to $1,614.46 per ounce by 0346 GMT after Friday's 0.7% drop. U.S. gold futures fell 0.4% to $1,646.60 per ounce. "The worse the situation gets the stronger the link between stocks and…

Conditions are ripe for the price of gold bullion to double Gold bullion has not done what it did during the past month since 2008. The Midas metal GC00, +0.34% shows rapidly rising relative performance against the CRB Index as industrial commodities are crashing due to the coronavirus effect. Gold bullion is staying firm, close to a multiyear absolute high. This dynamic has caused bullion to register a relative all-time high compared with the CRB Index (see chart). What happened…

COVID-19's toll to rattle gold prices next week as U.S. becomes new epicenter A massive three-day bounce in stocks has proven to be only temporary as equities tumbled Friday, once again dragging gold down with it. One of the biggest news to drive markets next week will be that the U.S. has become the new epicenter for the COVID-19 outbreak, surpassing China and Italy with the number of people infected. The number of cases in the U.S. surged to more…

Are you late to the gold price party if you didn't buy 6 months ago? Should you have bought gold six months ago before the world even heard of the coronavirus, which has triggered surging physical demand for gold and could drive prices to new historic highs? Challenging times like these always draw new people into the gold market, said The Perth Mint global gold market advisor Kevin Rich. “Gold is attracting more volume from existing gold investors—[But] times like…

Some price pullback is healthy for gold Consider this, gold has had a price range from Friday’s low ($1457) to Tuesday’s high (1698.60) of $241. If you compare Friday’s opening price ($1470) to Tuesday’s close ($1660) Gold had gained a total of $190 over three trading days. Based on the rapid ascent of gold pricing today’s moderate selloff I believe is healthy. We have all witnessed markets that have entered what is known as a parabolic rise, or more commonly…

Get ready for $2,500 gold price this summer – B. Riley FBR Massive gold price revisions are hitting the market this week as analysts estimate the impact of the COVID-19 crisis, with one investment bank upping its Q3 and Q4 gold price forecasts to an impressive $2,500 an ounce. Citing unprecedented fiscal and monetary policy stimulus, B. Riley FBR analysts said on Tuesday that they expect gold to surge to $2,500 an ounce in Q3 and continue to trade at…

Gold, silver prices soar; inflation on horizon? Gold and silver prices are trading sharply up in midday U.S. futures trading Monday. Prices shot from modestly higher levels overnight to sharp gains following an early-morning announcement from the Federal Reserve that the U.S. central bank is very aggressively buying more securities, including mortgage-backed, and also will open up a “main street” lending facility. The Fed used the term “unlimited” on amounts it will spend. U.S. stock indexes initially shot higher on…