Spot Gold | Morgan Stanley: <b>gold</b> price won't see $1,300 again | MINING.com | News2Gold |
- Morgan Stanley: <b>gold</b> price won't see $1,300 again | MINING.com
- Dubai Gold Exchange To Introduce <b>Spot Gold</b> Contract In June <b>...</b>
- Improving US Economy Hinders <b>Gold</b> Price | <b>Gold</b> Investing News
- <b>Gold</b> price remains around $1300 as Dubai <b>gold</b> exchange <b>...</b>
| Morgan Stanley: <b>gold</b> price won't see $1,300 again | MINING.com Posted: 29 Apr 2014 10:52 AM PDT The gold price on Tuesday continued to hover below the $1,300 an ounce level, down more than $80 an ounce from 2014 highs reached mid-March. US investment bank Morgan Stanley added to the negative sentiment, forecasting the gold price to average $1,250 this quarter, decline to an average $1,168 in the second half of 2014 and weaken further to $1,138 next year. The commodity analysts at Morgan Stanley are quoted in Barron's blog that record demand from China "won't be enough to keep gold's price above $1,200 per ounce in the coming year, much less help it rise". The bank blames a slide in the value of the Chinese currency, the yuan, against the US dollar for weakening demand. Signs of a drop-off in the world's top importer of gold are already visible: Mainland China's net imports totaled 80.6 tonnes in March, a 27% drop compared to the 111.4 tonnes imported in February. Compared to the same time last year the drop-off was even more stark – down 38% from the record 130 tonnes in March 2013. Another indication that there are fewer buyers in China is the disappearance of premiums paid on the Shanghai Gold Exchange. From premiums that topped out at $37 when gold was trading around $1,200 last year, during March traders on average offered gold at a small discount to the quoted London spot price. March was the first month since September 2012 that gold did not attract a premium. Driven in part by a weakening yuan, discounts on gold widened to as much as $9 an ounce below when the price were headed towards $1,400 in March. Apart from Asian demand issues, factors that have helped gold gain some 8% in value this year compared to a 28% fall in 2013 will also be fading in importance over the course of 2014. Morgan Stanley argues geopolitical tensions and worries about the US and Chinese economy won't attract safe-haven buying of gold like it did early this year. And tepid interest from futures traders and ETF investors will see the metal drift lower this year and next. Image of gold bear by The Scott  |
| Dubai Gold Exchange To Introduce <b>Spot Gold</b> Contract In June <b>...</b> Posted: 06 Apr 2014 09:43 PM PDT The contract is expected to be for 1 kilogramme (32 troy ounces) of 0.995 purity gold, a spokesman said. The Dubai Gold and Commodities Exchange (DGCX) plans to introduce a spot gold contract this June as part of its growth as a top trading centre for the precious metal, the exchange's chief executive Gary Anderson said on Sunday. The DGCX is in the final stages of finalising contract specifications, a spokesman quoted Anderson as saying at an industry conference. The contract is expected to be for 1 kilogramme (32 troy ounces) of 0.995 purity gold, the spokesman added. The DGCX already trades gold futures. Ahmed Bin Sulayem, executive chairman of the Dubai Multi Commodities Centre, which facilitates the trade, said on Sunday that in 2013 almost 40 per cent of the world's physical gold trade came through Dubai, while the value traded via Dubai annually rose to $75 billion from $6 billion in 2003. |
| Improving US Economy Hinders <b>Gold</b> Price | <b>Gold</b> Investing News Posted: 01 May 2014 04:05 PM PDT Articles Return to Article Directory
The Federal Reserve once again didn't do gold any favors this week. Spot gold was down on Thursday to $1,279.24 per ounce on more outflows from gold exchange-traded funds (ETFs) after the Fed stuck with its plan to reduce its monthly bond-buying program. The yellow metal touched a one-week low of $1,277.09 earlier in the day. The Fed's decision to reduce its monthly bond purchases was reinforced by its view that the US economy is on the path to recovery. This week, US data showed that consumer spending was at its highest level in over four and a half years in March, while factory activity increased in April. Market watchers will be on the lookout for US nonfarm payrolls data, scheduled to be released on Friday. The gold-backed SPRD Gold Trust ETF (ARCA:GLD) saw roughly 4.19 tons of outflows on Wednesday, marking its biggest drop in two weeks. That suggests investor confidence has not quite been restored when it comes to gold. ETF holdings have been on a decline for the past several weeks, with a drop of 30 tons over the last month and a half. Earlier this week, when gold touched about $1,300 on continued tension between Russia and Ukraine, ETFs seemed like a good idea. Unfortunately, ETFs seem to be caught in the middle of a "tug of war" between the former Soviet nation and the US. "Total holdings in exchange traded products backed by physical gold fell by 0.6 tons as investors in the yellow metal continue to seek protection from a potential escalation in Ukraine against the risk of further losses as the US economy continues to improve, thereby offering better investment opportunities elsewhere," said Ole Hanson, head of commodity strategy at Saxo Bank. US slipping from top spot Despite the improving US economy, a report out of the World Bank suggests that China's economic growth is rapidly gaining on that of the US, so much so that China could soon hold the top spot as world's biggest economy.The US has held the top spot as world's largest economy for more than a century, and could be surpassed by China as early as this year. Economists, as the Financial Times explains, had previous thought that China would only pull ahead of the US in 2019. The Bank also highlights that India has climbed up the ranks, taking the place of third-largest economy away from Japan. Company news This week, merger talks between Barrick Gold (TSX:ABX) and Newmont Mining (TSX:NMC) came to an end. As CTV News reported, both companies blamed each other earlier this week for the collapse of merger talks, which could have resulted in the a combination of the world's largest gold producers. In what ended up being a war of words, Barrick's chairman, Peter Munk, pointed to "cultural differences," adding that Newmont is an extremely conservative and risk-averse company, which made negotiations frustrating. On Wednesday's annual shareholder meeting, Munk stepped down from his post after more than 30 years. Vancouver gold miner Goldcorp (TSX:G) announced its Q1 earnings on May 1. They show a decline due to the lower gold price, despite the company's increase in gold production. On Thursday, Corvus Gold (TSX:KOR,OTCQX:CORVF) announced the results from the ongoing Phase 1 drill program at the North Bullfrog project in Nevada. Corvus notes assay results include the full intercept of hole NB-14-380, as well as four recently completed holes on the new West Vein zone. Highlights from the new West Vein zone include hole NB-14-384, which intersected 4.5 meters of 17 g/t gold and 140 g/t silver 50 meters along strike from NB-14-380. Meanwhile, hole NB-14-382 encountered 4.7 meters of 4.6 g/t gold and 0.5 meters of 181 g/t gold 25 meters down dip from NB-14-380. Detour Gold (TSX:DGC) reported its first-quarter results on April 30. They indicate that Detour met expectations, producing 107,154 ounces of gold for the quarter. The company also saw revenues come in at $110 million from the sale of 84,560 ounces. In addition, Detour closed some equity financing for gross proceeds of C$173 million and repaid $40 million in debt. Paramount Gold and Silver (TSX:PZG,NYSE:MKT:PZG) discovered a new set of structures to the south of the richly endowed Guazapares Megastructure on the San Miguel project in Mexico. Preliminary drilling has intersected sizable widths of high-grade precious metals. Also this week, Klondex Mines (TSX:KDX) announced the results of its PEA for the Fire Creek project in Nevada. The assessment points to low all-in sustaining cash costs of $636 per ounce of gold and a $157.3-million after-tax cash flow. Securities Disclosure: I, Vivien Diniz, hold no investment interest in any of the companies mentioned. Return to Article Directory Read next article Pacific Booker Minerals Inc. Posts Audited Financials Read more articles by Vivien Diniz+ |
| <b>Gold</b> price remains around $1300 as Dubai <b>gold</b> exchange <b>...</b> Posted: 07 Apr 2014 12:29 AM PDT Gold managed to close out the week last week at the highs and above $1300 – this morning gold remains trading around the $1300 level. Gold $ (1hr):
After a blistering start to the year, gold has pulled-back the past couple of weeks. At one point gold was up around 15% for the year. But after the 6% drop the past couple of weeks, it now means that gold is trading up around 10% for the year. Gold $ (daily):
It looks like gold has found some decent support around the 50% Fibonacci retracement line for the move so far in 2014 – around $1280. Gold $ (daily):
The 55 daily moving average is now at the $1305 level (a level which kept gold in check on Friday). The 200DMA comes in at $1297 and the 100DMA is at $1272 – so the DMA's are all converging and bunching-up, so we're set-up for an interesting week. Gold $ (daily):
A break through the 55DMA and we should get some more short covering and gold back up in the $1320/30 area, however a failure to get gold back above the 55DMA and that 100DMA at $1272 is crying out to be tested. We also got more confirmation today that the world is fed-up with letting the West 'fix' (manipulate?) the price of gold, as Dubai has just announced that it is setting up a spot contract on its gold exchange. From Gulf Business:
And why is big deal? Because 40% of the worlds physical gold traded through Dubai in 2013:
Is the West's ability to set the price of gold coming to an end? Related posts:
Link to this article: : http://www.goldmadesimplenews.com/gold/gold-price-remains-around-1300-as-dubai-gold-exchange-introduces-spot-gold-contract-12604/  Posted by Thomas Paterson on Apr 7 2014. Filed under Gold News. You can follow any responses to this entry through the RSS 2.0. You can skip to the end and leave a response. Pinging is currently not allowed. |
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