Best of the Week
Most Popular
1. US Housing Market House Prices Bull Market Trend Current State - Nadeem_Walayat
2.Gold and Silver End of Week Technical, CoT and Fundamental Status - Gary_Tanashian
3.Stock Market Dow Trend Forecast - April Update - Nadeem_Walayat
4.When Will the Stock Market’s Rally Stop? - Troy_Bombardia
5.Russia and China Intend to Drain the West of Its Gold - MoneyMetals
6.BAIDU (BIDU) - Top 10 Artificial Intelligence Stocks Investing To Profit from AI Mega-trend - Nadeem_Walayat
7.Stop Feeding the Chinese Empire - ‘Belt and Road’ Trojan Horse - Richard_Mills
8.Stock Market US China Trade War Panic! Trend Forecast May 2019 Update - Nadeem_Walayat
9.US China Trade Impasse Threatens US Lithium, Rare Earth Imports - Richard_Mills
10.How to Invest in AI Stocks to Profit from the Machine Intelligence Mega-trend - Nadeem_Walayat
Last 7 days
UK EU Election Results, Brexit Party Victory, Labour and Tory Bloodbath, UKIP and ChangeUK Die - 27th May 19
The Three M's of Hyperinflation : Milosevic, Mugabe, And Maduro - 26th May 19
Global Multi-Market / Asset Charts Review - 26th May 19
An Oil Shock Could Be the Black Swan That Finally Drives Gold Higher - 26th May 19
Brexit Party Forces Theresa May to Resign, Boris Johnson Next Tory Prime Minister? - 26th May 19
IBM - Investing in AI Machine Intelligence Stocks - 25th May 19
Seasonal Dysfunction: Why Generations of Gold and Silver Investors Are Having Such Difficulty - 25th May 19
Employment - The Good and the Bad of Job Automation - 25th May 19
Gold Mining Mid-Tier Stocks Fundamentals - 25th May 19
Buy This Pick-and-Shovel 5G Stock Before It Takes Off - 25th May 19
China Hang Seng Stocks Index Collapses and Commodities - 24th May 19
Costco Corp. (COST): Finding Opportunity in Five Minutes or Less - 24th May 19
How Free Bets Have Impacted the Online Casino Industry - 24th May 19
This Ultimate Formula Will Help You Avoid Dividend Cutting Stocks - 24th May 19
Benefits of a Lottery Online Account - 24th May 19
Technical Analyst: Gold Price Weakness Should Be Short Term - 24th May 19
Silver Price Looking Weaker than Gold - 24th May 19
Nigel Farage's Brexit Party EU Elections Seats Results Forecast - 24th May 19
Powerful Signal from Gold GDX - 24th May 19
Eye Opening Currency Charts – Why Precious Metals Are Falling - 23rd May 19
Netflix Has 175 Days Left to Pull Off a Miracle… or It’s All Over - 23rd May 19
Capitalism Works, Ravenous Capitalism Doesn’t - 23rd May 19
The Euro Is Bidding Its Time: A Reversal at Hand? - 23rd May 19
Gold Demand Rose 7% in Q1 2019. A Launching Pad Higher for Gold? - 23rd May 19
Global Economic Tensions Translate Into Oil Price Volatility - 22nd May 19
The Coming Pension Crisis Is So Big That It’s a Problem for Everyone - 22nd May 19
Crude Oil, Hot Stocks, and Currencies – Markets III - 22nd May 19
The No.1 Energy Stock for 2019 - 22nd May 19
Brexit Party and Lib-Dems Pull Further Away from Labour and Tories in Latest Opinion Polls - 22nd May 19
The Deep State vs Donald Trump - US vs Them Part 2 - 21st May 19
Deep State & Financial Powers Worry about Alternative Currencies - 21st May 19
Gold’s Exciting Boredom - 21st May 19
Trade War Fears Again, Will Stocks Resume the Downtrend? - 21st May 19
Buffett Mistake Costs Him $4.3 Billion This Year—Here’s What Every Investor Can Learn from It - 21st May 19
Dow Stock Market Trend Forecast 2019 May Update - Video - 20th May 19
A Brief History of Financial Entropy - 20th May 19
Gold, MMT, Fiat Money Inflation In France - 20th May 19
WAR - Us versus Them Narrative - 20th May 19
US - Iran War Safe-haven Reasons to Own Gold - 20th May 19
How long does Google have to reference a website? - 20th May 19
Tory Leadership Contest - Will Michael Gove Stab Boris Johnson in the Back Again? - 19th May 19
Stock Market Counter-trend Rally - 19th May 19
Will Stock Market “Sell in May, Go Away” Lead to a Correction… or a Crash? - 19th May 19
US vs. Global Stocks Sector Rotation – What Next? Part 1 - 19th May 19
BrExit Party EarthQuake Could Win it 150 MP's at Next UK General Election! - 18th May 19
Dow Stock Market Trend Forecast 2019 May Update - 18th May 19
US Economy to Die a Traditional Death… Inflation Is Going to Move Higher - 18th May 19
Trump’s Trade War Is Good for These 3 Dividend Stocks - 18th May 19
GDX Gold Mining Stocks Fundamentals Update - 17th May 19
Stock Markets Rally Hard – Is The Volatility Move Over? - 17th May 19
The Use of Technical Analysis for Forex Traders - 17th May 19
Brexit Party Set to Storm EU Parliament Elections - Seats Forecast - 17th May 19
Is the Trade War a Catalyst for Gold? - 17th May 19
This Is a Recession Indicator No One Is Talking About—and It’s Flashing Red - 17th May 19
War! Good or Bad for Stocks? - 17th May 19
How Many Seats Will Brexit Party Win - EU Parliament Elections Forecast 2019 - 16th May 19

Market Oracle FREE Newsletter

U.S. House Prices Analysis and Trend Forecast 2019 to 2021

Gold & Silver Move Higher, "Deepen Consolidation" Ahead of Long Easter Weekend

Commodities / Gold and Silver 2010 Apr 01, 2010 - 10:46 AM GMT

By: Adrian_Ash


Best Financial Markets Analysis ArticleTHE PRICE OF GOLD rose to a two-week high vs. the Dollar on Thursday morning in London, gaining as the US currency also rose on the forex market and global equities pushed towards fresh 18-month highs.

US oil contracts also rose to their best level since Oct. 2008, breaking above $84.60 per barrel.

"Sporadic bargain hunting was seen in gold" but precious metals volumes were light overall according to one Hong Kong dealer.

"Silver fixes higher in Europe, gold firms," says Reuters for the third day running.

Completing its fifth quarterly gain in succession last night, the gold price in Dollars today pushed higher to $1124 an ounce.

For Euro and British Pound investors, gold ended March with a new monthly closing high above €825 and £736 an ounce respectively.

Silver prices moved up to a new 10-week high, just shy of $18.00 an ounce.

"Gold took another shot at its downward sloping trendline on Wednesday," notes one London dealer in a technical analysis today, "but it failed below that resistance level and resumed its consolidation pattern."

"There is a trend-line off the March highs that comes in at $1121," agrees the latest technical outlook from bullion bank Scotia Mocatta. Citing "main support" at $1085, "the price formation from these two lines shows gold moving deeper into a triangle pattern...consolidation formations that tend to resolve in the direction of the trend."

Ahead of tomorrow's Good Friday holiday in the markets – when the latest Non-Farm US Payrolls data will be released – the US today reported the fifth consecutive week of falling new jobless claims.

Unemployment remains "unacceptably high", however, said Treasury secretary Timothy Geithner in an interview.

US Construction Spending fell less sharply than analysts expected in Feb., while manufacturing sentiment in both the US and UK improved faster than forecast in March.

London's gold and silver market – heart of the world's physical bullion dealing – will remain closed on Easter Bank Holiday Monday.

"The supply-side of the global economy has responded well to monetary and fiscal stimulus," writes Walter de Wet at Standard Bank in his Commodities Daily, and "is increasingly being supported by recovering demand.

"Much of the growth in final demand is coming from Asia, China in particular, but the US is also showing sings of growth, more so than Europe.

"We therefore increasingly favor palladium over platinum, and we also favor crude."

Looking at the make-up of current gold demand, "Since December there has been an outflow from physically-backed gold ETFs," notes the latest Commodity Weekly from French bank Natixis, "and a substantial drop in sales of gold coins in the Western world."

Compared with the record levels of early 2009, gold coin sales by the US Mint have fallen 30%. The UK's Royal Mint reports a 50% drop. Sales from the Austrian mint are down 80%.

"With the gold price no longer rising at the pace experienced last year, we expect patterns of demand to shift away from 2009's concentration upon investors back towards jewelry fabrication," concludes Natixis.

Over in India, meantime – home to the world's largest private gold demand – the price of gold ticked higher as "retailers want to stock up for the wedding season," according to a one Mumbai wholesaler.

"Everyone expects gold prices to be lower, close to 16,000 [Rupees per 10 grams, down from 16,445 today] before purchasing more," said one private bank dealer to the Economic Times. "But that seems unlikely as the wedding season will run for the next two months and demand will keep prices higher."

India's spring wedding season will culminate across southern states with the "auspicious" gold-buying festival of Akshaya Tritiya in early May.

By Adrian Ash

Gold price chart, no delay | Free Report: 5 Myths of the Gold Market
Formerly City correspondent for The Daily Reckoning in London and a regular contributor to MoneyWeek magazine, Adrian Ash is the editor of Gold News and head of research at , giving you direct access to investment gold, vaulted in Zurich , on $3 spreads and 0.8% dealing fees.

(c) BullionVault 2010

Please Note: This article is to inform your thinking, not lead it. Only you can decide the best place for your money, and any decision you make will put your money at risk. Information or data included here may have already been overtaken by events – and must be verified elsewhere – should you choose to act on it.

© 2005-2019 - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.

Post Comment

Only logged in users are allowed to post comments. Register/ Log in

6 Critical Money Making Rules