routemaster

sobering...

 

From: http://www.youtube.com/watch?v=rl5Gp-VWBG0

Thanks for posting the video.

It adds to my personal view that 2010 is going to be worse, a lot worse than 2009.

Wanna doodoo out gold, or what?

You could send it to Cash for Gold.

I doubt it. For myself, I think I'm going to buy as soon as the next tranche of fiat cash arrives in my account.

Something for Christmas.

BLUE NUN GOLD EDITION SPARKLING WINE

 

Gold Edition is a high quality sparkling wine, with a full, rounded flavour. Light and elegant in style, what makes it really distinctive is that it contains fine flakes of 22-carat gold leaf, designed to highlight its natural effervescence. A great apéritif or accompaniment for light meals and hors d’oeuvres, this is the perfect wine for celebrations and special occasions. For life’s golden moments.

http://www.bluenunwines.com/bn/indexScript...ldSparkling.htm

http://hosted.ap.org/dynamic/stories/U/US_...-12-16-17-06-53

By SARA LEPRO

AP Business Writer

 

NEW YORK (AP) -- Gold prices bounded higher Wednesday as the Federal Reserve reaffirmed its pledge to keep interest rates low for the foreseeable future.

 

Gold for February delivery rose $13.20 to $1,136.20 an ounce on the New York Mercantile Exchange.

 

As widely expected, the Fed kept its benchmark interest rate at a level near zero, where it's been all year, in an effort to spur lending and further support the economic recovery.

 

The ultra-low rates have been a drag on the dollar since March, encouraging investors to sell the greenback and buy assets like stocks and commodities that can earn bigger returns. Gold has been one of the biggest beneficiaries of the drop in the dollar because of its use as a hedge against a weak currency as well as inflation.

From:

http://www.mineweb.co.za/mineweb/view/mine...4&sn=Detail

Gold heading for $1,500 before mid-2010- SocGen

The bank suggests buying into the recent commodities correction as it expects precious metals to outperform the rest over six months as investors' fears intensify about inflationary pressures exacerbated by political interference.

 

Author: Rhona O'Connell

Posted: Wednesday , 16 Dec 2009

 

LONDON -

 

In its latest quarterly Commodity Review, investment bank Société Générale forecasts continued strength in investor flows into commodities in the first half of 2010, helped by central banks keeping policy rates at extremely low levels. The bank suggests that, not least due to the size of the output gap in the United States, the recently developed fears of an increase in FOMC interest rate policy has been overdone and therefore recommends buying into the latest correction in commodity prices.

 

The bank's foreign exchange strategists are looking for new lows for the US dollar against the euro during the first half of 2010. This, combined with the persistence of "exceptionally lax" monetary conditions, high investor cash holdings looking for a home and the secular trend of "long-only" fund managers for diversification into commodities as a hedge against inflation as well as mitigating equities exposure, all points to very strong investor flows into commodities during the first half of 2010.

 

Further out, the dollar is expected to stabilise if not bounce in the latter part of the year as the market starts to focus on the US rate hikes that are expected in early 2011. The US is not the only country that has to contend with a large output gap; the EU and Japan are facing a similar problem and this is likely to delay the start of interest rate rises in general until the start of 2011 - although the major central banks are expected to reverse some of their quantitative easing measures during 2010.

 

This likely course of interest rates has a dual impact on investor psychology; a) the expectation of rate hikes in 2011 is likely to reduce investor flows into commodities in the second half of 2010, and another full year with interest rates at record lows, combined with large structural fiscal deficits in the major OECD countries, will extend ongoing market concerns about potential longer-term inflationary forces.

 

Add this to the fact that, in SocGen's view, "The market is becoming concerned that the governments of the major OECD countries may put pressure on central banks to keep interest rates low for too long in order to help reduce the huge structural fiscal deficits in real terms (higher inflation would tend to reduce the real fiscal burden)" and we have another recipe for higher exposure to gold.

 

SocGen therefore expects precious metals prices, led by gold, to rally sharply in the next two quarters and the bank is looking for gold at $1,500 before mid-2010, with the view partly driven by the weight-of-money argument that revolves around gold's relatively small market size by comparison with other asset classes. Other bullish gold drivers include flat mining supply and the expectation for ongoing Asian central bank gold buying.

Asia, most pointedly China, is expected to maintain its spending on infrastructure projects next year and this should underpin base metal prices, with nickel expected to be the outperformer due to lower inventory cover at stainless steel manufacturers. The reverse is true for aluminium, which is labouring under a heavy burden of inventory and structural overcapacity.

 

The bank is also looking for moderate increases in crude and refined oil prices, aided by a gradual recovery in demand, particularly from Asia combined with restrained supply from OPEC. Global refinery overcapacity will, however, mean that the expected rally in refined products would be likely to stem from the rise in crude per se rather than being driven by strength in any one refined product.

 

Furthermore a distinctly bearish long-term weather outlook for the US is underpinning the view that US natural gas is likely to outperform the majority of the rest of the energy sector and that the market is not fully discounting the substantial risk of a much colder US winter than normal.

 

The study, which goes into all these sectors in depth, carries an interesting summary of how its quarterly average price forecasts compare with existing forward prices; the highest premium in terms of these differentials is, on a three month view, natural gas while among the metals gold and silver are in pole position. Looking further out to the fourth quarter of next year silver carries the laurels in the metals sector overall with nickel in the vanguard for the base sector (and outperforming gold), while tin and zinc bring up the rear.

I thought they were worth it so got a couple.

They are not my cup of tea, however they are very good value - well done.

For anyone who is still bullish on gold CID are doing a good price on 1oz Gold Lunar Mice / rats £713 this weekend

 

http://www.coininvestdirect.com/main.php

It seems they have sold out of the Lunar Mouse and are now selling the 2009 version, Year of the Ox, for £713.

Interesting. Fitkid have you got a link to that? I want to sent it to someone....

On behalf of Sir fitkid, the linky is

http://www.bloomberg.com/apps/news?pid=206...id=ag2cRG2_O1Jk

Hi GOM,

 

Agreed I won't be selling anything back to CID either!

This was a reply I got regarding selling back to CID.

Finally, regarding the 1oz Silver coins in general, we only deal with the coin from the current year.

 

However, as you might have noticed on our website there are some exceptions like the Australian and China coins as we have enough demand for those.

 

Therefore, the best suggestion we can make you at the moment is to contact us in the moment you would like to sell the 1oz Silver coins as we will be able to make you an offer should we be interested in buying the coins you have to offer.

 

In this email I would like to take the opportunity to also explain the process of selling coins to CoinInvestDirect:

 

* In order to fix the price for each coin you should contact CoinInvestDirect directly and, together with our sales team fix a price which both are confirming on our website. That price will be fixed from that moment onwards.

 

* Following the fixing of the price for each coin we will send you an email confirming the items we are expecting to receive together with their price. Afterwards, we will ask you to send the coins/bullion immediately to our main warehouse in Germany where they will be checked by one of our experts. Postage and risk have to be covered by you.

 

* When sending us the items you should enclose a signed note stating the type of coins/bullion and the quantity you are selling and sending to us. Please also list the previously agreed price per item.

 

* Once we have received the coins/bullion we will confirm receipt and check them within 48h maximum and will then give you feedback.

 

* Upon approval of the coins'/bullion's quality we will arrange for payment to you.

 

* Should the coins not be approved we will send them back to you and no payment will be made. CoinInvestDirect will cover these shipping charges.

Hope to come back down to £329. Any chance of that. Miss not buying pandas and maples for cheap. £5k used to get me 15 shiny 24k coins.

Instead of DVDs, I hope gold coins are given away free with the weekend newspapers.

More bickering on this thread as well, I see.

 

Amazing what volatility and extreme price movements will do to a forum.

From: http://www.youtube.com/watch?v=teMlv3ripSM

If your motive for buying is as an inflation hedge then "gold is gold is gold" so go for the physical form that you are interested in and go for the version that gives you the most gold for your money.

 

I have used both ATS Bullion and CoinInvestDirect.com. Both were great. In future I would probably use ATS Bullion on the basis that I can pop there in person to do the deal (very average little office to the side of the Savoy Hotel in London) and would not have to wait for delivery etc.

That is why I prefer to do business with ATS and Bairds as opposed to coininvest, because you can walk in and buy or sell face to face.

You could try getting in touch with the Royal Mint Business 2 Business dept if you are interested in buying 50+ sovereigns. The more you buy the bigger the discount, which will start at about £8 to £10 cheaper than even the most competitive dealer for brand new sovs

Also this is a useful article from MoneyWeek entitled "Why you should buy British sovereigns".

http://www.moneyweek.com/investments/preci...igns-16088.aspx

Adrian Ash is trying to trash all the ways to acquire physical gold in order to steer you into Bullionvault. Bullionvault has some advantages especially for those wishing to trade a bit but allocated or not, the gold is not in your possession.

I feel the same.

I do like the way James Turk promotes the purchase of physical bullion, including coins and explains now his own company works, and leaves the ball in your court - no hard sell.

PS: I am off to watch Kelly's Heros, which has just started on channel 5.

http://www.timesonline.co.uk/tol/money/inv...icle6945632.ece

 

Best performing asset class and best performing unit trust in the last 10 years .... However, Bond warned: “Stay away from gold in the longer term — other industrial commodities, such as copper and oil, are likely to give better returns.”

 

My sentiment as well.

I know it's like telling GEIs how to suck eggs but, there is this article on timesonline about the worst wasy to invest in gold.

The tripling of the gold price since 2004 has predictably led to something of a stampede for the metal among private investors.

But in their hurry to gain a slice of the precious metal, they do not always take the most sensible route, says Adrian Ash, of BullionVault, the gold bullion exchange.

 

Below he outlines five of the worst ways to buy gold:

 

 

1. Buying gold coins in auctions on eBay

 

Mr Ash says the prices can outstrip the true value of gold - the ‘spot’ gold price - by 25 per cent even for the plainest coins. Rarer coins are sometimes bid up to an even higher premium. Mr Ash says you should check out the seller ratings, the full item description and the shipping fees.

 

2. Chasing after ‘rare’ gold coins

 

The US authorities have given warning that investors should beware of dealers charging exorbitant fees for coins that turn out to be anything but rare. In 2004 a British telesales company was shut down for selling gold coins at 700 per cent of true market value.

 

3. Newly minted ‘collectible’ coins

 

As with supposedly ‘rare’ coins, so-called ‘collectible’ coins can cost a lot more than the value of the gold they contain. Mr Ash says the Royal Mint charges mark-ups of 40 per cent plus. The new ‘Countdown to London 2012’ series, priced at £1,295, costs almost twice the value of the coin’s gold content.

 

4. Rank over-pricing

 

Many reputable-looking companies can charge way over the odds for gold, says Mr Ash. “Mail-shots, websites and radio advertisements are now selling gold to UK investors at 15 to 40 per cent above the true ‘spot’ market value. One newly-launched company is selling one ounce bars for more than £800 (spot value £600) and kilo bars for £25,000 plus (spot value £19,400).”

 

5. Unallocated gold storage accounts

 

When a bank sells you gold but holds it in safe-keeping, the account is often unallocated. This means you do not actually own any gold. Instead the bank owes you a certain amount of the metal. This makes you a creditor of the bank.

http://timesbusiness.typepad.com//money_we...o-buy-gold.html

Has anyone else seen the Royal Mint ad's now running on tv? Only noticed it today but thought it was interesting as this is the first tv ad I've seen talking about buying Gold and Silver rather than selling. They may just be running them pre Christmas as that was how the ad was positioned (Xmas gift for loved one etc). It was on NickJr

 

Lou

An interesting report.

The Royal Mint have trebled their run of 2010 sovereigns to 250,000. I have never heard of NickJr. I looked them up on the internet and they broadcast, it seems, children's programmes on satellite/cable TV.

About every 2 years or so gold has had a massive upleg. When it moves like this it really moves and many of the gold bulls are surprised at the speed.

 

See the 2 articles I posted earlier to put it in the context of the whole bull market. This has happened before in the winters of 07-08 and 05-06.

 

If it goes like the 2 previous big uplegs this could continue until the spring with some minor corrections along the way.

A thing I found interesting on the Gold - Continuous Contact chart on your post #1377, was that both uplegs in 05/06 and 07/08 were subjected to pullbacks midway, like now, and then gold continued to achieve its target on the upper trend line.

Wow!

What a clear statement of complacency!

(Nothing personal in this, but I think this is very dangerous thinking.)

There may be a huge, huge volume of hedgie selling in the days to come.

The ocean may be pushing through the straw in the opposite direction.

With regards to the hedgie selling, the buyers were back in during the last hour of trading and pushed the price back up by $12 to $1161. There will be more skirmishes around the Chinese Wall, but the incursion will be repelled.

Nice to see another Gold price drop getting repelled at the Chinese Wall.

Yeah I fell out with CID a while ago and no longer deal with them.

CID used to be my preferred supplier, but there were a few things I did not like and I now mainly deal with Bairds and the Royal Mint Business 2 Business dept.

What now?

You did say back on the 14th March 2007 on HPC.

I would not sell below USD 1200, which is in my opinion the equilibrium price today.

But I expect it to go much higher, since markets are not rational. Just look at house

prices - another case where it's difficult to call the max. Inflation adjusted maximum

prices for gold in 1980 were around USD 2000/ GBP 900 per ounce. That might give

you an idea. Gold would have to triple from where it is now. But 1980 was not Armageddon.

http://www.housepricecrash.co.uk/forum/ind...43821&st=15

Chinese to become world's biggest gold consumers

That's why I am only interested in gold priced in Chinese yuan and my local currency GBP, all other currencies including the US dollar are much less important.

What does everyone think of these new Russian coins then?

 

 

7.78 gramm 999/1000.

I like the size, 1/4 troy ounce, however the reverse side in particular looks like a car park barrier token.

Just FYI, and I don't want to come across as "OMG SOMEONE IS WRONG ON THE INTERNET", but India bought that IMF gold at a $100 discount to the average spot price over a 2 week period, or $949 per ounce. So for anyone to theorize that there is some sort of floor at $1,045 is wrong.

The $1,045 floor is wrong, it's twenty dollars lower at $1,025, which will shortly be superseded by a new floor at $1,172.

1125

 

Gold is done here!

$1129 Now.

South Africa, previously the world's top producer, said gold output fell 9.3 per cent in volume terms in September compared to a year earlier.

Peak gold.