Gold & Silver News – 27th Oct 2014

Gold dropped but then saw some recovery from a low point this week as the US dollar declined on the back of news of ebola in New York and Eurozone concerns.

Gold and silver prices

Commodity Units Price

Change

% Change

COMEX Gold (Dec 14 delivery) USD/t oz. USD$1,231.80 (AUD$1,400.63)

+2.70

+0.22%

Gold Spot USD/t oz. USD$1,231.01 (AUD$1399.73)

-0.83

-0.07%

COMEX Silver (Dec 14 delivery) USD/t oz. USD$17.18 (AUD$19.53) +0.02 +0.14%
US Dollar Spot USD/t oz. USD$17.20 (AUD$17.20) +0.01 +0.05%

Gold and Silver Weekly charts:

Source: NASDAQ

Gold began the week on a higher note after last week’s overall increase. By Tuesday prices briefly enjoyed hitting a six-week high in early US trading, due to safe-haven demand and bargain hunting.

However on Wednesday Gold futures lost ground due to sentiment that the European Central Bank may undertake further measures to loosen monetary policy, a report on Forbes showed. Holdings of the world’s largest gold-backed fund, SPDR Gold Trust, also fell, dropping to 749.87 tonnes; the lowest since late 2008[1].

On Thursday, Gold fell a further 1%, seeing demand dropping over stronger-than-expected economic data and upbeat corporate results boosting the global equity markets; while the US dollar was batting near a one-week high

By Friday there was a slight turnaround in the market, when the dollar dropped for the first time in four days as an Ebola diagnosis in New York was reported. Concerns also persisted over the health of the eurozone, with reports agency Efe indicating eleven banks from six eurozone countries are likely to fail stress tests[2].

By the end of the week, Gold futures for December delivery added 0.2%, settling at US$1,231.80 (AUD$1400.63) an ounce on the New York Comex, down 0.6% for the week. Meanwhile, Silver futures for delivery in December rose 0.1% to USD$17.182 (AUD$19.54) an ounce.

Reflecting on the week’s movements, Bloomberg reiterated that rising rates reduce the metal’s allure because the commodity generally only offers returns through price gains. Other discussions such as by Barclays Capital economists added that a strong dollar and the direction of China’s economy are also influential factors. Tom Power, a senior market strategist at RJO Futures in Chicago, said that “long-term price direction will be all about what the Fed does next”: fed policy makers are scheduled to meet October 28-29th.

In the Kitco Gold Survey, 21 participants responded with six predicting higher prices, nine seeing lower prices and six seeing sideways prices in the week ahead. Phillip Streible, senior market strategist at RJO Futures said that next week support will begin at USD$1,220 (AUD$1387.21) and resistance at USD$1,250 (AUD$1421.33)[3].

The upcoming Swiss referendum is coming up next month on November 30th. According to Forbes, votes for yes or ‘leaning towards’ yes measured at 53%. The proposal would require the Swiss National Bank to hold 20% of its reserves in gold. Since 2006, Swiss gold reserves have fallen from 29% to 7.8%, therefore a “yes” vote would result in the Swiss National Bank being required to buy more gold, or sell off money reserves.

By Lisa Casagrande | https://www.goldbullionaustralia.com.au


[1] http://www.reuters.com/article/2014/10/23/markets-precious-idUSL3N0SI36420141023

[2] http://www.morningstar.co.uk/uk/news/AN_1414173893012093000/gold-ends-higher-on-eurozone-concerns.aspx

[3] http://www.kitco.com/news/2014-10-24/Survey-Participants-Lean-Bearish-Toward-Gold-Prices.html

 

Keep informed of live spot prices, news and specials.

If you would like to stay informed about up to the minute pricing, market news and specials, subscribe here.

Live Prices

Gold

Silver

Gold

3,718.77/oz

Silver

44.70/oz

Gold

3,718.77

Silver

44.70

Latest Post

Light at The End of The Tunnel! A new dawn for the next stage of the bull market in precious metals is breaking over the horizon.

South African Platinum Mine Supply & Power is set to diminish even further as winter sets in

Banking Crisis, Stagflation, QE, YCC What Exactly Does This All Mean for Precious Metal Investors?

The Yearly Gift That Keeps On Giving, Huge Buy Signal In Platinum

The Top 10 Reasons For Investing in Platinum

The Final Washout Before The Major Multi-Year Rally

Where Are We Headed: Inflation, Asset Markets, Currencies, Commodities & Precious Metals

Interest Rates Rising: A Very Bullish Signal For Precious Metals

Immense Seasonal Buying Opportunity in Gold, Silver & Platinum Is Upon Us – Part 2

Mining Platinum Group Metals – Part 2

South African Platinum Mine Supply in Decline as Demand Gains Significant Traction – Part 1

Auctus Metal Portfolio Overview – 1 November 2021

UK Hydrogen Strategy 2021 Platinum Long-Term Demand Moves Ever Higher

WHY HAVE PRECIOUS METALS UNDERPERFORMED IN 2021?

MASSIVE EXPLOSION AT ESKOM’S NEW POWER UNIT ‘MEDUPI’

Understanding Why Precious Metals Are Undervalued

The Impact of South Africa’s energy crisis on PGM mine supply

CYCLICAL TRENDS IN PRECIOUS METALS

WHY METAL FALLS?

Auctus Metal Portfolio Overview – 1 June 2021

Price Volatility & Correction In Platinum Group Metals ( PGM’S ) in May 2021

THE SLINGSHOT SETUP IN PRECIOUS METALS

PLatinum (Pt) UPDATE

PRICE FALLS IN METALS

The Hare and The Tortoise Story

Immense Seasonal Buying Opportunity in Gold, Silver & Platinum Is Upon Us

The impact of the COVID-19 pandemic on South African PGM supply, on global supply and ultimately on the price of platinum, palladium and rhodium. – Part 3

The impact of the COVID-19 pandemic on South African PGM supply, on global supply and ultimately on the price of platinum, palladium and rhodium. – Part 2

The impact of the COVID-19 pandemic on South African PGM supply, on global supply and ultimately on the price of platinum, palladium and rhodium. – Part 1

AUCTUS Company Portfolio Models Overview as of 1st June 2020

Gold and precious metals are among the safest investment assets during a global crisis

Investing in and Retaining a precious metal portfolio during the COVID-19 pandemic

How Cheap is Gold as of April 2020

Anglo Platinum

Platinum – Supply and Demand

Platinum price to rise as “climate change” pressure gains traction

David Davis

Auctus Metals Breaks+50% Annual Net Returns for Year 2019

Big Profits in Buying Gold, Silver & Platinum in December

What’s the difference between and optimist and a pessimist?

Our Clients Portfolio Performance Spectacular Chart Performance – 3 charts

Silver Technical Picture Price Outlook

China Devalues their Currency

Palladium – the quiet achiever of the Precious Metals Portfolio

Diversification within Precious metals – The Potential is Incredibly Compelling

Why Silver is seriously Bearish

Forecasts are now becoming mainstream plus platinum

Historical Precedent in Silver & Gold

The perfect storm slowly starts to hit and can no longer be ignored

A Momentum Lead Capitulation in Platinum, A Major Triple Bottom Develops?

Black swans darkening the sunlight out from view

WHAT IS IT ABOUT PGM’s (Platinum Group Metals)?

Have you considered Rhodium?

Historical Investment Opportunity Presents Itself

Bullion Banks ARE Now the Most Bullish on Silver in Decades!

A Confluence of Events in Silver Are Coming Together

A Confluence of Events Leading to Silver Price Rise

We are currently at a 1 in 5-year event

DEBT CRISIS, CRYTOCURRENCY, PROPERTY AND A MONEY TSUNAMI

First Bullion Bulletin – Update with David Mitchell

Porsche Gold Rush: Special operation for Porsche on the streets of London

METALS, STOCKS & BONDS

Happy New Year – what is happening at GBA and precious metal investing

HOLIDAY TRADING

NOT ALL THAT GLITTERS IS GOLD

This Week’s Specials

PERTH MINT YEAR OF THE DOG 2018 GOLD & SILVER BULLION COINS

The Biggest Opportunity in Precious Metals Since Late 2015, and the Last Chance at These Prices ?

Please tell us what you think of the new GBA website!

X
3,718.77
44.70