Wt Physica Gold Discussion Threads

[spob] 08/9/2010 18:54

yes - should of bought more a few weeks back though

[bluebelle] 08/9/2010 11:36

Quite an old article but interesting. You still holding too spob ?

[spob] 18/6/2010 21:51

Gold hits record high as investors seek havens
By Javier Blas in London and Gregory Meyer in New York

Published: June 18 2010 12:48 | Last updated: June 18 2010 18:01


Gold prices hit a nominal record high above $1,260 a troy ounce on Friday, boosted by investors buying bullion-backed exchange-traded funds.

EDITOR'S CHOICE
Report casts doubts on new commodity futures rules - Jun-17US questions oil price benchmark - Jun-17Coffee growers warn of rise in narcotics crops - Jun-16Lex: Natural gas - Jun-14Holdings at the New York-listed SPDR Gold Trust, the largest gold ETF, surged this week to a record high of 42.05m ounces, up more than 7 per cent over the past month.

Holdings of other large gold ETFs have also surged.

However, Edel Tully, precious metal strategist at UBS in London, said support for the gold rally was "quite narrow," noting that "physical safe haven buying was lagging well behind that of May".

In London, spot gold surged to an intraday high of $1,260.20 an ounce, up 3.6 per cent on the month. Adjusted for inflation, however, gold is still a long way from its record high above $2,300 an ounce in 1980.

Traders and bankers said hedge funds remain extremely bullish on gold because they believe that, sooner or later, the central bank's recent massive monetary expansion would translate into inflation.

Bankers said that some hedge funds have internal forecasts above $1,300-$1,500 for the end of the year.

But with demand for jewellery, the traditional backbone of the bullion market, declining, some consultants are cautioning that gold might lack the strength to sustain the recent move above $1,250 an ounce for a long time.

Investors last year bought more gold than buyers of jewellery for the first time in three decades, according to GFMS, the London-based precious metal consultancy.

Elsewhere in commodities markets, oil prices rose over the week as investors returned to risky assets. Nymex July West Texas Intermediate rose 4.6 per cent to $77.19 a barrel while ICE Brent climbed 5.5 per cent to $78.47.

ICE July Arabica coffee rose 9.7 per cent to $1.5895 a pound, touching a 27-month high in the week. Tobin Gorey, a JPMorgan analyst, said: "The market is trying to decide whether the sharp move higher was simply a short-term trading phenomenon or something more fundamental."

[spob] 26/11/2009 18:19

Investors buy out US Mint of Eagle coins
By Javier Blas in London

Published: November 26 2009 17:12 | Last updated: November 26 2009 17:12

The rush by retail investors into gold has forced the US government to suspend sales of the world's most popular bullion coin, the American Eagle, after running out of inventories.

The shortage, the second since the start of the financial crisis in August 2008, is the latest sign of investors seeking a safe haven into bullion amid the US dollar woes. Safe-haven buying spurred by concerns about the health of Wall Street and a spike in inflation due to a lax monetary policy have also benefited gold sales.

EDITOR'S CHOICE
Gold nears $1,200 after Sri Lanka buys - Nov-26Royal Mint cashes in as gold market coins it - Nov-19Short View: Gold rush - Nov-19Q&A: Gold's record run - Nov-16I don't like the shiny crowds around gold - Feb-01IMF sells 200 tonnes of gold to India central bank - Nov-03"

The US Mint has depleted its current inventory of 2009 American Eagles one-ounce bullion coins due to the continued strong demand," the mint said in a statement late on Wednesday. It added that selling will resume "once sufficient inventories . . . can be acquired to meet market demand".

The stoppage helped to push gold prices yesterday to a fresh all-time high of $1,194.90 a troy ounce, up 0.5 per cent on the day. Bullion later pared gains to trade at around $1,185 a troy ounce as the US dollar strenghtened.

The mint suspended sales last year after the collapse of Bear Stearns and Lehman Brothers triggered a wave of buying that depleted its stocks. Coins dealers have reported ocassional shortages of other popular coins.

Philip Newman, director at London-based precious metal consultancy GFMS, said that physical gold demand in North America had picked up in the last two months.

The US Mint has sold about 1.19m ounces of American Eagles so far this year, up almost 75 per cent from the same period last year and on track to be the highest annual volume in ten years, according to official data. Sales of American Eagle's silver coins have hit 26m ounces, the highest level in at least 23 years.

Although gold and silver coins account for a relatively small fraction of the precious metals market, analysts see them as a good proxy of retail investor appetite.

Gijsbert Groenewegen, managing director at New York-based precious metals hedge fund Silver Arrow Capital, said that investors were shifting from paper assets to physical assets. "Bullion is the only asset without counterparty risk," he said.

The scarcity of American Eagle coins ahead of the Christmas-period, which usually sees strong demand for bullion, pushed coins premiums higher.

FideliTrade, a major US-based coins bullion dealer, quoted the American Eagle at almost $60 above spot gold prices, much higher than quotes for other coins.

[extra for Asia] Traditionally, the American Eagle and its sister the American Buffalo are the world's best selling gold coins, followed by the the Canadian Maple Leaf, the Austrian Philharmonic and the South African Krugerrand.

Turkey's local gold coins sell even more that its American counterpart, but trade is limited to within the country.

[bluebelle] 12/11/2009 14:22

Nat Hart - 7 Nov'09 - 11:27 - 205 of 206

Nat, if I were you, I would ask for the price at which the deal was done in each currency and keep a record of it. I'm pretty sure I was ripped off because I didn't do so : why they don't include it on the contract note is beyond me - and them apparently !!!

[nat hart] 07/11/2009 11:27

Bluebelle ... Thanks for that will chat with my broker on Monday. I can buy in my ISA which is what interests me enormously. That and where the POG is going of course. :-)

[bluebelle] 06/11/2009 11:26

I use Selftrade : have never had a problem doing the physical transaction but on ETFs which are quoted in USD and translated back into GBP I have had major problems on discrepancies between exchange rates which they have never satisfactorily explained.

[nat hart] 06/11/2009 10:39

When I try to buy these through Barclays online it comes up with a price of £5000 something. Anyone know how I can get some please?

[chester] 05/11/2009 16:06

Apologies, double post.

[chester] 05/11/2009 16:05

Looking for a little help here. I'm unsure if I should be buying PHAU ($), PHGP ( £)which are both physical gold trades, or BULL or BULP which I presume are derirative plays, one in $ and the other in £.

[zarophe] 04/11/2009 22:13

Interesting - thanks spob

[spob] 04/11/2009 02:35

Gold hits record high on India purchase

By Javier Blas in London and James Lamont in New Delhi

FT

Published: November 3 2009 09:08 | Last updated: November 3 2009 23:42

Gold prices on Tuesday surged to an all-time high after India's central bank bought 200 tonnes of the precious metal, swapping dollars for bullion as the country's finance minister warned the economies of the US and Europe had "collapsed".

India's decision to exchange $6.7bn for gold equivalent to 8 per cent of world annual mine production sent the strongest signal yet that Asian countries were moving away from the US currency.

EDITOR'S CHOICE
Market glows with hopes for prices - Nov-03New Delhi puts hallmark on return to gold - Nov-03Lex: India buys gold from the IMF - Nov-03India flexes its foreign reserve muscles - Nov-03IMF statement - Nov-02Interactive graphic: The unstable metal - Nov-03

The purchase by New Delhi's Reserve Bank from the International Monetary Fund pushed gold prices to a record $1,086.10 per troy ounce, up 2.6 per cent on the day, as traders bet that other central banks would also become buyers.

Pranab Mukherjee, India's finance minister, said the acquisition reflected the power of an economy that laid claim to the fifth-largest global foreign reserves: "We have money to buy gold. We have enough foreign exchange reserves."

He contrasted India's strength with weakness elsewhere: "Europe collapsed and North America collapsed."

Gold: Unstable metal
Interactive timeline charts economic and political events that have driven gold prices from 1900
"This is a landmark trade," said Jonathan Spall a director at Barclays Capital and a gold ­specialist. "Central banks are conservative institutions and India's move is a sign for other central banks and sovereign wealth funds that were contemplating buying gold."

New Delhi's acquisition came months after China revealed it had almost doubled its gold reserves in the past six years.

Traders and mining executives tipped China, Saudi Arabia and Middle Eastern sovereign wealth funds as candidates to snap up the rest of the gold the IMF plans to sell.

[babylon3] 02/10/2009 14:37

WIld swing.