Gold

Goldcorp: Asia demand will support gold

October 23, 2014 at 10:27

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Demand from China and other parts of Asia will support the price of gold, the chief executive of one of its largest miners said, as the precious metal traded near its strongest level in six weeks. Chuck Jeannes of Goldcorp said he saw “as much clarity in the market as there has ever been”, with a “floor” created by strong demand whenever gold reached or fell below about $1,200 per ounce. “The anecdotal evidence is that gold goes down and physical demand goes up,” Mr Jeannes said. “A huge number of physical buyers in the world see gold as a bargain below $1,200.” Miners of gold have been scrambling to rein in costs and cut out marginal projects since gold fell 28 ...

Silver investment to remain strong

October 23, 2014 at 10:16

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Investment demand for silver will likely remain strong in coming years due to lackluster economic growth, industrial usage and the need to preserve capital in developing nations, analysts with the CPM Group said. "Investors may accumulate as much as 1 billion additional ounces of silver in various investment instruments over the next decade," the CPM analysts said in a report commissioned for the Washington, DC-based Silver Institute. "This is on top of the more than 860 million oz of silver purchased as an investment since 2006," the report said. CPM analysts expect net investment demand to slip this year to about 90 million oz after totaling nearly 105 million ...

Silver Demand By The Solar Photovoltaic Industry

October 22, 2014 at 09:56

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Silver and gold are compared to each other as both metals are viewed by investors as inflation hedges and safe haven investments. However, in addition to its characteristic as a safe haven investment, silver is widely used in industrial applications. It is used in the manufacture of semiconductors, solar photovoltaic cells and batteries, in the fabrication of jewelry, in photography and has a variety of applications in nanotechnology. With the rapid adoption of solar energy across the world, the demand for silver from the solar photovoltaic industry is expected to rise rapidly. In this article, we will take a closer look at the trends in the demand for silver by the solar...

Why Silver Is Poised to Hit $50

October 22, 2014 at 09:45

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In the next few years, you could make triple-digit gains in one of the world’s most hated commodities: silver. You won’t get rich quick. But as I’ll show you today, higher prices are almost inevitable. And before the run is over, we could see spot rates triple or more. Let me explain… The past few years have been hard for resource investors. Since the summer of 2011, spot gold prices are off more than 35% from their peak. And as we have written about a lot here at Fool Canada, gold miners are struggling just to keep the lights on. But business is down right boomin’ compared to the silver space. Since prices peaked in 2011, spot rates are off more than 65%. Small miner...

Diwali lifts gold

October 21, 2014 at 08:44

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Even after a two-week rally in bullion, Indian prices remain 7.3 percent lower than a year ago just as sales are set to climb for the festival and wedding season. India is the largest gold buyer after China. The All India Gems & Jewellery Trade Federation said fourth-quarter imports of the metal may jump 75 percent, which Barclays Plc said may support prices. “The appetite for gold among physical buyers in India seems to have increased,” said Howie Lee, an investment analyst in Singapore for Phillip Futures Pte. “India’s attachment to gold is unlikely to break. This tradition has lasted for centuries. It’s a symbol of wealth or a form of investment, and the preciou...

Buy signal? Gold Assets Drop Most in a Year

October 21, 2014 at 08:37

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Holdings in the SPDR Gold Trust, the biggest exchange-traded product backed by the metal, shrank by the most in 12 months as investors cut assets even after prices rebounded from the lowest level this year. The assets contracted 1.2 percent to 751.96 metric tons yesterday, the least since November 2008, according to data on the fund’s website. Holdings in the fund, in which billionaire John Paulson is the biggest investor, are 5.8 percent lower this year after shrinking 41 percent in 2013. Gold climbed last week as global equities tumbled and the dollar fell on concern that slowing global growth from Europe to China may prompt the Federal Reserve to delay interest-r...

Indian gold smuggling loses its shine

October 17, 2014 at 13:51

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Gold smuggling into India, the world's second-biggest consumer of the precious metal, is becoming more risky for couriers following a surge in seizures and less profitable for the gangs behind the practice. At the same time, a drop in the gap between local and global prices also means there is less profit to be made by smuggling in gold, giving banks more business and higher revenue for a government struggling to rein in a fiscal deficit. "Gold smuggling was highly profitable ... but now with the drop in premiums and tight security, legal imports are increasing," said Milind Lanjewar, additional commissioner of customs intelligence at Mumbai international airport. Seizu...