Tag Archive: Gold

Gold Rises As Global Stocks Plunge and Bitcoin Crashes 70 percent

2018-02-06

by

2018-02-06

Gold Spot and NYSE Composite, Nov 2017 - Jan 2018
Gold gains 0.6% in USD and surges 1.7% in euros and pounds. European stocks fall more than 3% at the open after sharp falls in Asia. DJIA falls 1,175 points, S&P 500 down 4.1% and Nikkei plummets 4.7%. Gold rises from $1,330 to $1,342, £942 to £960 and €1,067 to €1,085 /oz. Bitcoin crashes another 10% and has now plummeted by 70% to below $6,000. Increased risk aversion will drive safe haven demand for gold as its hedging properties are appreciated...

Read More »

Weekly Technical Analysis: 29/01/2018 – USDJPY, EURUSD, GBPUSD, GBPJPY

2018-01-30

by

2018-01-30

USD/CHF, January 22
The USDCHF pair shows some bullish bias to approach retesting the previously broken support that turns into key resistance now at 0.9418, noticing that stochastic loses its bullish momentum clearly to reach the overbought areas, while the EMA50 forms continuous negative pressure against the price.

Read More »

Bi-Weekly Economic Review: Markets At Extremes

2018-01-30

by

2018-01-30

Production ended the year on a strong note but early readings from January are not as positive. The December industrial production report headline was strong at a 0.9% gain but a lot of that strength was in the mining (oil drilling) and utility sectors. Mining has actually led the way the last year as rig count has risen with drilling activity. I’d love to see our economy less dependent on the price of oil but that is what we’ve become over the...

Read More »

Weekly Technical Analysis: 22/01/2018 – USD/JPY, EUR/USD, GBP/USD, USD/CHF

2018-01-22

by

2018-01-22

USD/CHF, January 22
The USDCHF pair found solid support at 0.9564 barrier, which forced the price to rebound bullishly to approach testing the key resistance 0.9655, met by the EMA50 to add more strength to it, while stochastic shows clear overbought signals now.

Read More »

Digital Gold Flight To Physical Gold Coins and Bars

2018-01-18

by

2018-01-18

Gold and Bitcoin prices, Dec 2017 - Jan 2018
‘Digital Gold’ Bitcoin Flight To Safe Haven Physical Gold. Latest bitcoin, crypto crash causes gold coin and bar demand to surge. Bitcoin down 40% from high, Ripple down 50% and Ethereum down 30%. Ripple and ‘Digital gold’ Bitcoin fall past key psychological price levels. $300bn wiped from cryptocurrency fortunes in just 36 hours. New research says that there is ‘Price Manipulation in the Bitcoin Ecosystem’.

Read More »

Weekly Technical Analysis: 15/01/2018 – USDJPY, EURUSD, GBPUSD, WTI Oil Futures

2018-01-16

by

2018-01-16

USD/CHF, January 16
The USDCHF pair succeeded to break 0.9656 level and hold with a daily close below it, which confirms opening the way to extend the bearish wave towards our yesterday's mentioned next target at 0.9566, noticing that the price approaches retesting the broken level now.

Read More »

Bi-Weekly Economic Review: A Weak Dollar Stirs A Toxic Stew

2018-01-16

by

2018-01-16

We received several employment related reports in the first two weeks of the year. The rate of growth in employment has been slowing for some time – slowly – and these reports continue that trend. The JOLTS report showed a drop in job openings, hires and quits.

Read More »

Global Asset Allocation Update

2018-01-05

by

2018-01-05

Moderate Allocation
There is no change to the risk budget this month. For the moderate risk investor the allocation to bonds is 50%, risk assets 45% and cash 5%. The extreme overbought condition of the US stock market persists so I will continue to hold a modest amount of cash. There are some minor changes within the portfolios but the overall allocation is unchanged.

Read More »

Industrial production: The Chinese Appear To Be Rushed

2018-01-04

by

2018-01-04

All China's Dollars, Aug 2016 - Jan 2018
While the Western world was off for Christmas and New Year’s, the Chinese appeared to have taken advantage of what was a pretty clear buildup of “dollars” in Hong Kong. Going back to early November, HKD had resumed its downward trend indicative of (strained) funding moving again in that direction (if it was more normal funding, HKD wouldn’t move let alone as much as it has). China’s currency, however, was curiously restrained during that...

Read More »

Bi-Weekly Economic Review: Housing Market Accelerates

2018-01-03

by

2018-01-03

The economy ended 2017 with current growth just slightly above trend. In general the reports of the last two weeks of the year were pretty good with housing a standout performer going into the new year. We are still trying to get past the impact – positive and negative – from the hurricanes a few months ago though so it is probably prudent to wait for more evidence before making any definitive pronouncements about the economy.

Read More »

Bi-Weekly Economic Review: Animal Spirits Haunt The Market

2017-12-20

by

2017-12-20

The economic data over the last two weeks continued the better than expected trend. Some of the data was quite good and makes one wonder if maybe, just maybe, we are finally ready to break out of the economic doldrums. Is it possible that all that new normal, secular stagnation stuff was just a lack of animal spirits?

Read More »

Weekly Technical Analysis: 18/12/2017 – USD/CHF, USD/JPY, EUR/USD, GBP/USD, EUR/CHF

2017-12-19

by

2017-12-19

USD/CHF, December 19
The USDCHF pair traded with clear negativity yesterday to break 0.9892 level and settles below it, which stops the recently suggested positive scenario and put the price within the correctional bearish track again, noting that there is a bearish pattern that its signs appear on the chart, which means that breaking its neckline at 0.9840 will extend the pair's losses to surpass 0.9800 and reach 0.9730 as a next station.

Read More »

Buy Gold, Silver Time After Speculators Reduce Longs and Banks Reduce Shorts

2017-12-17

by

2017-12-17

Concentration of Traders in the CFTC COTs
Gold and silver COT suggests bottoming and price rally coming. Speculators cut way back on long positions and added to short bets. Commercials/banks significantly reduced short positions. Commercial net short position saw biggest one-week decline in COMEX history. ‘Big 4’ commercial traders decreased their short positions by 28,800 contracts. Seasonally, January is generally a good month to own gold (see table). "If history is still reliable,...

Read More »

Chart of the Week: Collateral

2017-12-16

by

2017-12-16

US Treasuries, Jan 2017 - Dec 2017
It’s been a week of quite righteous focus on collateral. The 4-week bill equivalent yield closes it at just 114 bps, with only three days left before the RRP “floor” is moved up by the FOMC to 125 bps. That’s too much premium in price, though we know why given what FRBNY reported for repo fails last week.

Read More »

Year-end Rate Hike Once Again Proves To Be Launchpad For Gold Price

2017-12-15

by

2017-12-15

Year-end rate hike once again proves to be launchpad for gold price. FOMC follows through on much anticipated rate-hike of 0.25%. Spot gold responds by heading for biggest gain in three weeks, rising by over 1%. Final meeting for Federal Reserve Chair Janet Yellen. Yellen does not expect Trump's tax-cut package to result in significant, strong growth for US economy. No concern for bitcoin which 'plays a very small role in the payment system'.

Read More »

Weekly Technical Analysis: 11/12/2017 – USD/CHF, USD/JPY, EUR/USD, GBP/USD, Gold

2017-12-12

by

2017-12-12

USD/CHF, December 12
The USDCHF pair begins to bounce higher after approaching from 0.9892 level, supported by the EMA50 that meets the mentioned level, while stochastic shows clear bullish trend signals on the four hours time frame. Therefore, these factors encourage us to keep our positive expectations in the upcoming period, waiting for visiting 1.0038 level as a next main station, being aware that breaking 0.9892 will stop the expected rise and turns the price back...

Read More »

Bi-Weekly Economic Review: Who You Gonna Believe?

2017-12-07

by

2017-12-07

We’ve had a pretty good run of data recently and with the tax bill passing the Senate one would expect to see markets react positively, to reflect renewed optimism about economic growth. We have improving economic data on pretty much a global basis. It isn’t a boom by any stretch of the imagination but there is no doubt that the rate of change has recently been more positive.

Read More »

Global Asset Allocation Update

2017-12-02

by

2017-12-02

Moderate Allocation
There is no change to the risk budget this month. For the moderate risk investor the allocation to bonds is 50%, risk assets 45% and cash 5%. The extreme overbought condition of the US stock market did not correct since the last update and so I will continue to hold a modest amount of cash.

Read More »

Precious Metals Supply and Demand – Thanksgiving Week

2017-11-28

by

2017-11-28

Various Salt Money Units
Keith Weiner’s weekly look on Gold. Gold and silver prices, Gold-Silver Price Ratio, Gold basis and co-basis and the dollar price, Silver basis and co-basis and the dollar price.

Read More »

Geopolitical Risk Highest “In Four Decades” – Gold Demand in Germany and Globally to Remain Robust

2017-11-26

by

2017-11-26

Swan
Geopolitical risk highest “in four decades” should push gold higher – Citi. Elections, political and macroeconomic crises and war lead to gold investment. Political uncertainty in Germany means “gold likely to remain in good demand as a safe haven” say Commerzbank. “There has rarely been such political uncertainty in Germany at any time in the country’s post-war history” – Commerzbank. Reduce counter party risk: own safe haven allocated and...

Read More »