huntergatherer

Analysis: Gold to tough out ETF outflows; silver to struggle

LONDON | Tue Feb 1, 2011 9:42am EST

(Reuters) - Gold prices may suffer short-term damage if selling from physically backed exchange traded funds extends for a second month, but silver is more vulnerable in the longer run as it lacks gold's broad-based sources of demand.

The largest gold ETF, the SPDR Gold Trust, recorded its second-biggest monthly outflow ever in January, while gold prices posted their worst monthly performance since December 2009.

http://www.reuters.com/article/2011/02/01/...E7104JU20110201

Gold Is Looking Risky, But Silver Looks Much Worse

Jan. 31, 2011, 8:17 AM

Intuitively, investors knew that the price of silver appreciated much faster than that of gold. It does however sink in much more when observing the drop in the ratio on a chart. From a technical perspective, one could now see a retracement of the ratio back to somewhere around 55, perhaps even 60. The Fibonacci retracement levels are in that range as well.

To reflect this scenario, an investor would have to buy gold and sell silver in equal dollar values. Not an easy and certainly not a risk-free trade to put on. Having said that, it might be less risky than a straightforward purchase of gold, certainly that of gold futures.

http://www.businessinsider.com/gold-silver-etf-2011-1

Gold Stumbles As Refuge Demand Keeps Shriveling.

JANUARY 31, 2011, 2:15 P.M. ET.

Gold market participants have been "a little disappointed that the fear factor didn't come into play more," said Stephen Platt, an analyst with Archer Financial Services in Chicago.

But the gains are proving short-lived during the metal's broader correction.

Gold has lost 6.3% this year as cautious optimism about the global economy and strength in equities markets erodes the appeal of the precious metal as a refuge asset. Gold is bought by some investors because it isn't as tied to economic cycles as other investments like industrial metals or stocks.

"As long as the oil supply doesn't get cut off, the Egypt situation isn't going to greatly impact the world's economy," said Ira Epstein, director of the Ira Epstein division of the Linn Group.

Stronger than expected U.S. economic data further undercut investors' desire for gold.

Monday's data also provided evidence that U.S. inflation remains subdued. The core price index, which excludes volatile energy and food prices, was up 0.7% compared with the year-earlier period, after rising 0.8% in November. Gold is sometimes purchased as a hedge against inflation.

http://online.wsj.com/article/BT-CO-20110131-714313.html

I admit i have had my eye on your bottom and it has been pretty impressive so far. It might be gone by the morning however.

 

As for the Feds cards interest rates rises are not so very far away.

Gold prices, silver prices continue to suffer on ETF flight

Wednesday, 26 January 2011 21:36

Gold prices fell for a fourth straight session on Tuesday, shedding $2.03, or 0.15%, to settle at $1332.32.

Prices continue to fall steadily after decisively breaking below the $1360 support level last week, confirming the triple top near $1425.

Silver ETF holdings have not been falling off as dramatically as those for gold, but they have been falling as well.

"Silver ETP holdings also suffered net outflows of 30 tonnes, keeping January on track to be the weakest month for silver flows on record. Separately, the latest weekly ECB statement showed no gold had been settled during the week-ended 21 January." says Cooper.

http://www.economy-news.co.uk/gold-prices-...s-26201101.html

Au forming a 'doomed house'?

$1250 possibly on the cards?

Gold has formed very ugly technical patterns both in the long-term and the short-term. In the short-term we have what looks like a dome top forming.

http://www.kitco.com/ind/Summers/jan262011.html

Giant Gold Nugget Last of Its Kind

A single gold nugget weighing more than 100 ounces will soon be auctioned. The going price is likely around $130,000. But experts say it is far more valuable as a historical object. (Jan. 21)

Four sentenced for Pontarddulais silver band thefts

21 January 2011 Last updated at 18:04

Four men have been sentenced for stealing £15,000 of instruments from Pontardulais Town Band, which were sold to a scrap dealer.

The instruments, sold on for £61, were crushed.

http://www.bbc.co.uk/news/uk-12249568

Hold your horses before backing Silver

With the build up to April having moved up a fears gears, focus on the famous race is increasing.

http://www.dailymail.co.uk/sport/racing/ar...o=feeds-newsxml

Silver May Decline 20% as Coin Sales Signal `Crowd': Technical Analysis

Silver prices may retreat as much as 20 percent this year as soaring demand for physical metal signals a “crowded” trade, said Barry James, the chief executive officer of James Investment Research Inc.

“After a period of outperformance from silver, we would be taking a little off the table,” James said. “It’s more likely that silver will have a correction in price rather than a surge.”

http://www.bloomberg.com/news/2011-01-20/s...l-analysis.html

Sales of 1-Ounce American Silver Coins Soar, U.S. Mint Says

January 19, 2011, 2:36 PM EST

Jan. 19 (Bloomberg) -- Sales of 1-ounce American Eagle silver coins are headed for a record this month, according to data from the U.S. Mint.

About 4,588,000 coins have been sold in January, according to data on the Mint website. That would be the highest monthly total since sales began in 1986.

http://www.businessweek.com/news/2011-01-1...-mint-says.html

Silver on target today:

Silver hits the mark

A good leap saw Golden Silver take the lead at the second last and he pulled clear between the final two obstacles.

http://www.setanta.com/ie/Articles/2011/01...ove/gnid-85951/

here here

Or rather hear! hear!

Happy days.

Gold, silver fall to record lows on global cues, poor demand

 

5 Jan, 2011, 03.34PM IST,PTI

 

NEW DELHI: Silver witnessed the steepest fall in more than 26-month and gold fell to a 10-week low in the bullion market on panic selling by stockists, triggered by a sharp fall in bullion prices in global markets.

 

http://economictimes.indiatimes.com/market...how/7222700.cms

Silver regains on global cues, gold declines

11 Jan, 2011, 02.39PM IST,PTI

NEW DELHI: A divergent trend developed on the bullion market today as silver recovered on rising demand from industrial units and gold declined on reduced offtake at higher rate.

Market analysts said the silver remained in demand among industrial units and coins manufacturers on expectations of more hike in its prices in coming days.

http://economictimes.indiatimes.com/market...how/7259225.cms

Commodities fall off a cliff

The commodities move has cooled away, along with prices for gold and silver, oil and agricultural raw materials falling Friday following a record-breaking run earlier this week.

Traders are worried that the Chinese government could increase interest rates, as a way to slow down staggering inflation. Since, the China is really a main consumer of raw materials that can lead to less interest in commodities across the board.Gold and silver plunged consequently. Arriving off almost every day record levels, precious metal dropped $37.80, or 2.7%, to settle at $1,365.50 an ounce on Friday. Metallic, which in fact had been striking 30-year levels, dived 5.3% in order to $25.94 an ounce. As well as copper, which was additionally rallying in order to multi-month highs, fell 2.8% in order to $3.91 a good ounce.

http://www.businesstoday-eg.com/markets/as...ff-a-cliff.html

More shine taken off gold in India:

Glitter gone from contest, cricket cup loses gold

G.S. RADHAKRISHNA

Hyderabad, Jan. 5: The Moin-ud-Dowla Gold Cup, once India’s premier domestic cricket tournament but long banished to the fringes, has suffered a humiliating blow in its centenary year.

A laboratory test has shown that the winners’ trophy is not made of pure gold as always claimed but is an alloy of silver and copper with less than 10 carat gold. The State Bank of Hyderabad now says the cup is worth just Rs 90,000 rather than Rs 4-5 crore as was believed.

Man Singh has demanded a government probe.

http://www.telegraphindia.com/1110106/jsp/...ry_13399056.jsp

Gold, silver fall to record lows on global cues, poor demand

5 Jan, 2011, 03.34PM IST,PTI

NEW DELHI: Silver witnessed the steepest fall in more than 26-month and gold fell to a 10-week low in the bullion market on panic selling by stockists, triggered by a sharp fall in bullion prices in global markets.

http://economictimes.indiatimes.com/market...how/7222700.cms

Look, this is not really about silver except very tenuously. But I really had to tell you all about it.....

 

I lost an item (of silver in the post recently) but I may of had it. My postman signs stuff for me to save me the hassel of going down the post office to get it later. Im 99% sure I did not get it, but I buy quite a bit so I may have over looked it....

 

Anyway, while I was out taking the kids to school, the post man came in our house and knocked on the bathroom door while my wife was in the shower. "special delivery" Do you think think this was 1st class service or a bit creepy???

Does the postman always knock twice?

Be more like a 'Humpty Dumpty'?

Great to see you CG

 

Especially since today was the day the net value of my gold bought over the last 3 years hit the x2 (over purchase price) mark.

My net value of Au has almost trebled over last three years bought near £300 now £900.

Ag has more than doubled from £9 to £19.

Thanks CG et al.

I put a large amount in ag averaged around $16 and saw it fall to $8.40.

But I also bought a large amount (50% of above purchase) at $8.81.

Just bought another £10k of silver.

Guaranteed for the rocket to turn into Challenger

I put a large amount in ag averaged around $16 and saw it fall to $8.40.

Silver worth watching today with high of $20.54

No, I've only recently bought back in after being out of GM silver for a few months. IMO it isn't worth the risk of trading anymore, you run the risk of missing the big one! I'm in it until the end now.

I too have bought back in GM below £10 t oz after selling last February. (funds used to purchase Au at $900-core position at $605) I held an overweight position in Ag at really the wrong time when Au would have been better but was able to buy 50% more metal at a low of $8.81 and averaged out. My funds in Ag also protected me against drop in pound and strengthening dollar appreciation. I would consider a trade-like last time but only if it was the right thing to do. I hold some physical Ag which I can hold on to and will keep funds available (dollars and sterling) should there be a large drop in the autumn. My main concern is wealth preservation/appreciation against pound sterling. With a possible longer term move to a near parity of dollar with pound it may not be worth trading and holding some Ag as a currency along with Au. Further down the road inflation could be/is lurking.