Current Gold Market Price
June 11, 2011 by staff
Current Gold Market Price, Gold prices may rally next week if Friday’s gains in the U.S. fiasco dollar, market participants said. Furthermore, if the fears about the European situation, debt accumulation, which will increase the attractiveness of gold as a safe haven, which could offset the strength of the dollar if the dollar manages to remain firm.
Silver, meanwhile, is likely to remain range bound as it does not have the appeal of gold as a safe haven so, plus you could find the extra weight of a global economic slowdown, which would limit the industrial use of metal.
The August gold futures on the Comex division of the New York Mercantile Exchange and settled at 1529.20 an ounce, down from 0.81% in the week, while July silver futures and settled in the 36.327 ounce, down from 0.37% in the week.
In the News Kitco Gold Survey, a total of 34 participants, 21 responded this week. Of the 21 participants, 14 see prices, while three see the prices down and sideways view or four prices unchanged. Market participants are bullion dealers, investment banks, futures traders andanlysts of the data sheet.
Gold prices fell on Friday, as the U.S. dollar was vastly superior. Support for prices came from renewed problems the euro area.
BNP Paribas said the euro couldcome under pressure in the coming days, citing growing concerns about sovereign debt issues. The bank said that although the Greek Cabinet signed off the latest round of austerity measures envisaged, the Greek opposition party has not and the public continues to protest. They also noted a story in the Wall Street Journal included more details regarding a subject which EUR 1 billion of bonds backed by regional Spanish debt that did not sell last week. “With investors cautious as the possibility of infection is clear,” said BNP Paribas.
The history of the euro debt will be front and center in the short term and it is likely that the unit of currency moves, they said. “It may not be long before U.S. concerns hit the debt ceiling peripheral euro out of the debt crisis of the spotlight, but is likely to be a late June / July, no history, one for the next week or two, “he added.
Commerzbank said that despite the weakness of the euro, prices of precious metals are still strong gains. “In the case of gold, its character as a safe haven and store of value is clearly more weight to the prospect of higher interest rates and therefore the opportunity costs of holding gold. The price of gold, therefore remain well supported, “they said.
Jimmy Tintle, futuresanlyst with Transworld, said part of the strong dollar was the currency of options expiration and the dollar is benefiting from short covering, rather than buying completely new. He said Monday’s action in the dollar is said to address the short term.
“Let’s see if we can get any conduct in this rally,” he said.
Charles Nedoss, senior market strategist at futures Olympus, said that besides the strong dollar, weakness in crude oil and grains of gold down. “You had the two markets are more influenced by inflation out,” that weighed on gold, he said.
The dollar’s strength is probably temporary, Nedoss said, and so, gold prices could rise next week. He said that at the end of the day, gold prices retreated from its minimum even though the dollar’s gains place and it was a bullish sign for the metal.
For next week, the story of inflation will return as the U.S. producer and consumer price index reports will be released and which could form the basis of gold, too, he said.
Tintle said support for gold in about 1520 and, with 1,500 and the next area of?? Support. He said he is neutral on the direction of gold in the short term, but said that if the market can rally support and could test and test and 1570. That is just below the high ratings of all time and about 1577.
Gold could be extended with destination until the meeting of Federal Open Market Committee at the end of the month, he said. The market is likely waiting to see what Fed Chairman Ben Bernanke has to say about the quantitative easing program, which is scheduled for later this month. Market participants are waiting to see if they take out another stimulus package in light of slowing economic growth.
Ira Epstein, director of the division of Ira Epstein Linn Group, said it is not unusual for gold to drift around in June and July, and this could be the pattern this year, too, and that could constant mean a weakening of prices.
He recognizes that 2011 is not a typical year of trade and the U.S. economy is doing wrong. That said, the main driving forces are already trading in the market.
“I do not see anything unusual at this time that should affect the” norm. “The markets already know about the U.S. peaked in debt, sovereign debt problems in Europe, the war in Libya, Yemen is out of control, Iran, Venezuela and Saudi Arabia division on issues of oil and so on. In other words, while there may always be an unknown force that comes into play, previous moves are known, “said Epstein.
However, he added, after the summer winds down, gold prices could rally strongly, which has been the model for the metal since 2001, except in 2008.
“Past performance is not necessarily indicative of future results. There is more than a tool for traders to use in your trading arsenal. (Except) for the year 2008, gold has shown a strong seasonal tendency to move upward after the deadline of June to July. It is very important to me why not start in 2008 as there is no “always” an event that can alter the standard of things, “he said.
As for silver, Tintle said there is little reason for silver to escape their current range between 34 to and 38. “I’m pretty neutral on the money at least until late June or early July,” he said.
Missing fundamental news and thoughts that global growth is slowing, the silver is bound to be considered more for industrial use for any aspect of safe haven, he said. He noted that silver has not been able to break above and 38, while the purchase of areas of interest when prices slip and the 34 ay 35. “It shows that 35 is a pretty good price for silver,” Tintle said, adding that he does not see the metal break the strong minimum clearance in May. This figure comes in around 32.30 y.
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