Gold

Indian gold imports rise ahead of more curbs

November 28, 2014 at 13:28

truthing

India's gold imports could climb to around 100 tonnes for a third straight month in November as dealers buy heavily for fear of curbs on overseas purchases, especially as the wedding season picks up, traders said. Local premiums have fallen to about $10 an ounce from $18 last week due to the speculation over curbs, they said. Curbs on gold imports figured in a meeting of central bank and finance ministry officials this month as a way to rein in India's trade deficit, swelled by a jump in imports in September and October, to about 100 tonnes each month. But officials wary of overreacting have not yet made a decision. "The speculation around rules triggered panic buying...

Delays for Thai physical gold exchange

November 28, 2014 at 13:24

truthing

Establishment of a physical gold exchange remains up in the air after recent negotiations between the Stock Exchange of Thailand and gold dealers over management power ended in discord.  Despite a mutual agreement in principle to set up a spot gold exchange in Thailand, a tug-of-war between the SET and gold traders has made it impossible to occur this year.  MTS Gold president Kritcharat Hirunyasiri said questions of managerial power had not been settled yet.  "The SET has proposed taking a majority stake in the new exchange and requested the power to set its direction, while gold traders are concerned they could lose control of the exchange and see their benefit...

Newmont lowers all in cost to 1k an oz

November 27, 2014 at 10:07

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Newmont’s average realized gold price for the third quarter stood at $1,270 per ounce, down from $1,322 per ounce in the corresponding period last year.  The fall in prices realized for Newmont mirrors the decline in spot prices of gold over the same period. Gold prices have fallen over the course of the last year, reacting to cues regarding tapering of the Federal Reserve’s Quantitative Easing (QE) program. The tapering of QE implied strengthening U.S. economic growth. Gold is often viewed as a hedge against inflation and economic weakness. The strengthening of the U.S. economy reduced the investment demand for gold and led to a fall in prices of the metal. As per the Wo...

Banks face metals lawsuit gold and silver next?

November 27, 2014 at 09:57

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A US jewellery company has filed a class-action lawsuit against Goldman Sachs, HSBC, Standard Bank and BASF alleging manipulation of benchmarks used to set the price of platinum and palladium.   The lawsuit, filed in New York, seeks damages for what it alleges was an eight-year conspiracy to manipulate the global benchmarks for physical platinum and palladium prices as well as futures and options tied to those prices.   The action comes as benchmarks are being overhauled to move daily price fixings on to electronic exchanges after allegations of manipulation. Since the financial crisis global banks have been charged with rigging the Libor lending ben...

Gold to surge on Swiss vote?

November 26, 2014 at 09:31

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Global gold prices may surge in the coming week if Swiss voters approve a controversial measure that would force their country's central bank to keep at least a fifth of its assets in gold. If the referendum Sunday passes and the Swiss government is forced to start beefing up its reserves, the price of gold could jump to more than $1,350 an ounce — an increase of 18%, Bank of America predicts. Spearheaded by the right-wing Swiss People's Party, the so-called Save Our Gold law would compel the Swiss National Bank, the country's central bank, to increase its gold reserves from the current 7.7% to 20% within five years. To do that would require repatriating Switzerl...

Has the silver price already hit bottom?

November 26, 2014 at 09:26

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It has been a tough year for investors in silver with the lustrous white metal plunging 17% over that period. This was on the back of recent weakness across all precious metals as the U.S. dollar continued to strengthen on positive economic data coming out of the U.S.   Of even greater concern for investors, are claims silver still has further to fall, with some analysts predicting further weakness among precious metals because of a stronger U.S. economy which cause the U.S. dollar to continue appreciating in value. But in recent days silver has rebounded – after hitting its lowest point in almost five years – to be trading at over $16 per ounce and I believ...

Swiss bank chief wants cartel to continue

November 24, 2014 at 10:13

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The head of the SNB reiterated concerns that a popular vote on requiring the central bank to keep a fifth of its assets in gold would hinder its ability to conduct monetary policy. In text of a speech to be delivered Sunday, SNB Chairman Thomas Jordan said the initiative, known as “Save Our Swiss Gold,” would limit the central bank’s “room for maneuver.” for that read, manipulate markets to suit. That it would make it harder for the bank to intervene(manipulate) during crises and fulfill its mandate of price(manipulation) stability. “The initiative is both unnecessary and dangerous,” Mr. Jordan said in the speech. “It is unnecessary because, under the current moneta...