Price of Gold falling like a rock

[Oakview2]

Something historical driving the price down. I kinda thought as the election go closer, stocks would take a beating and gold might go up, which it did at the first of the month, but dropped to 1708 per oz this am?

 

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[Oakview2]

Thanks for the information

 

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[blynch35]

i wonder what its going to look like in five years

 

[loby]

Hiii friends....

SINGAPORE/MUMBAI: Gold is seen declining for the first time in three days in London on speculation Europe's debt crisis will drive investors to the dollar, curbing demand for the metal as an alternative asset.

The dollar traded near a 22-month high versus the euro on Tuesday as concern that Europe's turmoil is hurting economic growth boosted demand for the greenback. Gold imports by India may fall 51% this month as a weaker rupee and higher duties raise prices, the Bombay Bullion Association said.
"In view of the latest negative news from the euro zone, the US currency is likely to gain further against the euro, which should prevent any rise in the price of gold," analysts at Commerzbank AG wrote on Tuesday in a report. "Weak physical demand has also been weighing on the price of gold recently."

Bullion for immediate delivery fell 0.3% to $1,575.65 an ounce by 12:57 pm in London. Prices are 5.4% lower in May for a fourth monthly decline, the longest losing run since 1999. August-delivery futures were 0.3% higher at $1,576.20 on the Comex in New York. US markets were closed on Monday for Memorial Day.

Gold at the morning "fixing," used by some mining companies to sell output, was little changed at $1,573.75 an ounce in London from $1,574.60 Monday afternoon. Bullion purchases by India may be about 50 tonne to 60 tonne this month, down from 102 tonne a year earlier, Prithviraj Kothari, president of the Bombay Bullion Association, said.

Consumer confidence in the euro area was at minus 19.3 in May, compared with minus 19.9 in April, according to a Bloomberg News survey before the final reading is released on Wednesday. The unemployment rate climbed to 11% in April, the highest in data compiled by Bloomberg going back to 1990, according to a separate survey of economists before the June 1 report.

Silver for immediate delivery fell 0.5 % to $28.2575 an ounce. Palladium was little changed at $605.13 an ounce. Platinum was 0.2% lower at $1,436 an ounce. Platinum will average $1,750 in the fourth quarter, the median of 13 analyst estimates compiled by Bloomberg shows, as the first drop in mine supply in four years and record car sales reduce a surplus.

Gold is still up 0.8% this year as investors joined central banks in buying the metal to diversify their assets.

Holdings in the SPDR Gold Trust, the biggest bullion-backed exchange-traded fund, rose 1.3% this year and stood at 1,270.26 tonne on May 25, according to company data.

Central banks in Turkey, Ukraine, Mexico and Kazakhstan added to gold reserves in April, while the Philippines increased holdings in March, International Monetary Fund data show.

Gold consumption in China was 761 tonne last year, Wang Shengbin, vice-chairman at the China Gold Association, said on Monday. That compares to the estimate of 769.8 tonne from the producer-funded World Gold Council. The country may become the biggest user this year, displacing India, the council predicts.

 

[Jason in Enid]

Excellent post loby! Many people don't know, or forget, that the PM prices are largely based on the relative strength of your local currency. As the dollar strengthens, it's natural that PM prices drop. It's just more reason to to buy!

 

[Ben Cartwright SASS]

BBB

I believe in the THREE B's Beans, Bullion, and Bullets

Of course with the last B you can get everything else!

 

[B H Prospector]

Gold goes as crude oil goes. When oil is high so is gold. When it drops so does gold. Oil and gas prices have dropped rapidly lately. $1600 - $1700 still nothing to frown at. Even $1200 is still good. Just a few years ago gold was at $600.

Good luck!

BH Prospector

 

[Astrobouncer]

I hope it drops back down to around 300 an ounce.

 

[freddy williams]

shepcal I wish it would get back to 400 an once then I'd really buy I should have like so many others bought back then when it was around 400 a few thousand dollar when I had it say 20 grand imagine what you could do with 500 onces right now at these price sell off and retire early to metal detect and gold hunt...HH everyone be patient gold is goind nowhere Invest in silver while it is low I see it going up in the future

 

[Ben Cartwright SASS]

Some say gold has no intrinsic value, but what does? Certainly not our fiat currency. There is nothing backing our currency except the peoples faith that it has value. They keep printing it with nothing to back it up. I have a bill from Zimbawie it is a 100,000,000,000 bill and it is legal currency, it is worth about 10 bucks, that is what simply printing money does.

But back to the price drop, the value of gold is manipulated by governments and big banks, they try to keep the value down. Remember when they used to report the price on the evening news? They don't want people buying it because they want us to be slaves to our worthless fiat currency. In times of crisis the only real metal of value is LEAD, in the form of bullets! You can get anything you want with that.
I have gold, but more silver, silver is undervalued, if I remember historically it was a 20 to 1 ratio. I think silver has a higher upside potential than gold. Also to me the best way to buy silver is in "junk silver" used silver coins, you can buy a 10 cent silver coin for about $2.30 if you buy some every week eventually you will have a bunch. It takes about 1900 dimes to fill a coffee can and you can stick in a corner or on your pantry self.
Also whether gold or silver, the government could call all the precious metals in again as Roosevelt did, but there is a federal law that they cannot call in money and silver coins and the gold eagles are legal tender.

 

[TreasureWriter]

I've been an investor and trader for 12 years. Gold has an inverse relationship to the strength of the American economy and the US dollar. Right now American sentiment is higher fueled by the speculation that we may rid ourselves of Obama and get a relatively conservative President who is also an astute businessman. Corporate earnings are higher and real estate is rebounding. If we have a good holiday season, I would expect the price of gold to decline further. You have to understand that gold is at historical highs. It's really difficult to push it higher and the savvy money is beginning to sell off. Right now buying is a suckers bet. The only way gold will push higher is if a crisis occurs.

 

[Ben Cartwright SASS]

The crisis will be is the current administration gets reelected, 16 Trillion dollar debt, adding 1 Trillion a year, the EU still struggling, China going into a recession... Listening to Fox Business if we don't change something we will be Greece in 3 years.

Doesn't hurt to have some as part of a diversified portfolio.

 

[Ben Cartwright SASS]

I find it funny that people selling gold to folks afraid of a economic collapse, forget that when disasters strike, people seek, fuel, food, clean water, building materials and clothing, not pecious metals

Yes in an emergency you seek fuel food water etc, but how do you buy those? Of course you can get them if things get bad enough with lead, but that aside, do you keep at least $1,000 in 10's and 20's on hand in case the power fails and you cannot get money from an ATM? A short term crisis is different than a long term one. In a short term crisis cash you have on hand and your stockpiled supplies should carry you through, but if it is a true world changing crisis then precious metals will be in demand to trade for staples. In a long term crisis you either "trade or take" simple as that.

 

[Jason in Enid]

Long term crisis, I am selling my stockpile of ammo for gold because I have enough food, water, crops and hunting to sustain. All you have is paper? Sorry, I ain't taking that stuff.

 

[Ben Cartwright SASS]

long term, I won't say how much gold and silver (if any) I have but I have over 30,000 rounds of ammo on hand and 5 gun safes

 

[penster]

long term, I won't say how much gold and silver (if any) I have but I have over 30,000 rounds of ammo on hand and 5 gun safes

Ben, you and I think alike. Just look at the organized looting and flash robberies and " beatdowns" taking place using social media. Widespread social unrest in an economic collapse is a real possibility. And it won't be moral and civilized people bringing this chaos to the forefront. I hope to soon be living away from suburbia, where the dregs of society would have to walk a long way to find me!

 

[Hoser John]

I've seen $45-$1800 and don't bother me in the least. Will always keep quite a few pounds around in case the economy dies as dollar worthless well gold will still get me my bacon,beans and beer. Simply slip a piece a paper in any gold found bottle before ya stash ,be it day,year or week month and what spot was---and appx. what it cost ya to get. THEN when gold up ya sell the most expensive ya got stashed and when it goes down ya sell the cheapest. I have some from 1958 that cost me nuttn' and opposite some from 2004 that cost me $405 soooooo...taint' what ya find BUT what and how ya do with it. Plain simple and ez to me-John

 

[pat-tekker-cat]

I've seen $45-$1800 and don't bother me in the least. Will always keep quite a few pounds around in case the economy dies as dollar worthless well gold will still get me my bacon,beans and beer. Plain simple and ez to me-John

Man I like the way you operate! Great minds think alike, huh?

5-gallon buckets for silver, coffee cans for gold, sssshhhhhhhh, don't tell anyone! LOL!
I also try to remember, food and fresh water, is a commodity, many don't see the value in, atm. I'm sure glad all my cousins stayed on the farm! If it did hit the fan, Del Monte is outta their lease! Here in S.E. Fl, it's hard as heck to grow food on a 1/2 acre of coral!
beans, bullion, and bullets, hehehe. God, guns, and gold! more or less, same thing only different.

Not to throw the subject too far off gold, I have seen some ads touting graphite, as one of the next emerging metals. Any opinions as to the validity to that?

 

[Ben Cartwright SASS]

3 G's, I love it!

Here in Massachusettstan that will drive the lefties wacko

GOD GUNS and GOLD !

 

[Jason in Enid]

graphite isn't a metal, it isn't mined. Its a manmade material and is far from being "precious". Some people will say anything to get gullible people to buy.

 

[pat-tekker-cat]

graphite isn't a metal, it isn't mined. Its a manmade material and is far from being "precious". Some people will say anything to get gullible people to buy.

Huh?
Graphite - Wikipedia, the free encyclopedia
What is graphite used for

Thank you just the same.
Ok, anywhoooo, BBB & GGG, by the bucket loads! LOL!