Today’s AM fix was USD 1,318.75, EUR 959.09 and GBP 791.14 per ounce.
Yesterday’s AM fix was USD 1,314.00, EUR 957.59 and GBP 787.44 per ounce.
Gold slipped on Wednesday and came off 14 week highs hit in the previous session as traders booked profits.
Gold in Euros, 5 Years - (Bloomberg)
Worries about global economic growth are underpinning gold's safe-haven appeal and the technicals suggest that after a pullback, the precious metal may continue to rise in dollar and other fiat currencies and in terms of the Dow Jones Industrial Average (see long term chart). A period of correction and consolidation would ordinarily be expected after such rapid gains.
Gold touched $1,332.10 an ounce yesterday, the strongest since October 31st, before shedding some of the gains. Bullion has risen around 9% so far this year. Premiums for gold bars in Singapore and Hong Kong remain steady and Hong Kong premiums were at $1.30 to $1.70 an ounce over spot London prices.
Gold in U.S. Dollars, 1920 -February 18, 2014 - (Bloomberg)
Hedge funds and money managers have raised their speculative long positions in gold futures and options to a three-month high on signs the Fed will not rush to cut its stimulus, Commodity Futures Trading Commission (CFTC) data showed on Friday.
The Federal Reserve's January policy meeting minutes, when it decided to trim its money printing and U.S. government debt buying by $10 billion, are due for release at 1900 GMT. Traders will scrutinise the minutes for clues regarding whether the Fed will maintain their ultra loose monetary policies.
Trends forecaster, Gerald Celente, who correctly forecast the recent $10 billion taper, told Russia Today overnight that the Federal Reserve is again “blowing bubbles,” as is the ECB.
After the Nasdaq and property bubbles, we now have huge debt bubbles being created, said Celente. This is leading to BRICS nations having concerns about a “monetary tsunami” and concerns about the euro and dollar and may lead to a new reserve currency for the world - possibly a basket of currencies.
This poses risks to both the dollar and the euro and both may fall in value in the coming months and the question is “which one is going to go first?”
Celente again warned of the economic parallels with the 1930’s and said that we are again seeing recession and depressions, currency wars, trade wars and that this would lead to actual wars.
Gerald Celente, Trends Research Institute
He warned that the cost of living is going to continue to rise and standards of living are set to fall. Although the official government inflation data may not show this, as they do not include energy and food. “After all we don’t have to eat or use fuel. What deranged mind would really include that into a core index.”
Celente concludes that the “books are being cooked, the numbers are a lot worse than they are showing and all the Fed is doing is pumping this up so that it looks like there is a recovery up until Election day.”
Webinar: Gerald Celente On Strategies For Protecting Your Wealth In 2014 And Beyond
Join Gerald Celente on this broadcast tomorrow as he examines the opportunities in 2014 and in the coming uncertain years.
Gerald Celente needs little introduction: Founder of The Trends Research Institute in 1980, Gerald Celente is a pioneer trend strategist. He is author of the national bestseller Trends 2000 and Trend Tracking (Warner Books) and publisher of the internationally circulated Trends Journal newsletter.
Celente's Trends Research Institute has been featured on Oprah Winfrey amongst hundreds of media interviews and credited with forecasting many major geopolitical and economic trends.
These include the "Panic of '08," the collapse of the Soviet Union, the dot-com bust, the 1997 Asian currency crisis, the 1987 world stock market crash, increased terrorism against America, "Crusades 2000," and the quagmire in Iraq … before war began and the last two recessions.
This webinar is scheduled for tomorrow, February 20, 2014 1:00 PM - 2:00 PM GMT and will be moderated by Mark O'Byrne, Head of Research at GoldCore.