I am long precious metals, especially gold. So, once in a while, I will post some articles/videos that I feel are notable milestones for my own records. Of course, those of you who are more invested may want to consider gold and silver in your own investment portfolio as well. Mike Maloney has aptly presented a strong argument for gold, which I will not repeat here. Feel free to view that video for your own education. For those who might be more familiar with Robert Kiyosaki instead, you might like to know that he is long silver and gold as well. Well, more so silver.
Read from source here
Submitted by GoldCore
30th August 2011
Brimelow said that “bearing in mind the huge gold importing by China in the latter part of last year, in JBGJ’s opinion this is currently the key issue in the gold market.”
The UBS daily note reports that “the mood among gold investors appears to be to buy the dip rather than chase the market, which is understandable given last week's volatility.”
UBS conclude that the “violent sell-off hasn't done any lasting damage to gold, and the reasons investors bought gold in recent months remain valid. Our one-month forecast of $1950 remains in place.”
UBS three month price view is $2,100 per ounce.
Very significant demand being seen for bullion internationally and especially in Asia means that gold’s correction is likely to again be of short duration. Indeed, the scale of demand suggests that gold may not need a long period of consolidation and could again surprise to the upside.
Non gold experts, many in the financial services industry, continue to warn of a bubble. Their analysis is extremely simplistic and almost exclusively based on recent price action.
However, the majority of those in the industry and the majority of gold market analysts remain bullish.
Throughout August, prior to the recent record nominal high and subsequent selloff, many banks raised their forecasts for the year.
SocGen raised its average gold price forecast to $1,950 an ounce for the fourth quarter of 2011 and to an average of $2,275 per ounce in 2012.
Bank of America-Merrill Lynch said in a research note it was revising its 12-month gold target to $2,000 an ounce.
JPMorgan said that gold could reach over $2,500 per ounce prior to year end.
The recent sell off has not seen banks and analysts revise down their price forecasts.
Since 2003 that the real high of $2,500 per ounce (inflation adjusted and based on CPI) would likely have to be reached prior to gold being a bubble.
Those informed about the gold market know that absolutely nothing has changed about the supply and demand dynamics driving the gold market.
Showing posts with label gold. Show all posts
Showing posts with label gold. Show all posts
Tuesday, August 30, 2011
Tuesday, August 23, 2011
Greater interest in gold investment options as gold prices hit record highs
By Ng Puay Leng / Monica Kotwani
Published on 23rd August 2011
http://www.channelnewsasia.com/
SINGAPORE: As international gold prices hit record highs, some banks said there is greater appetite from local investors purchasing gold investment products.
Analysts predict gold prices could go as high as US$2,500 an ounce, compared to US$1,400 at the beginning of the year.
According to United Overseas Bank (UOB), more people are enquiring about and purchasing gold investment products, such as gold bars and coins. The bank has seen a 20 per cent increase in gold coin purchases compared to earlier this year.
Citybank said interest in gold investment accounts and gold-related funds has also doubled since last year.
According to the World Gold Council, the Asian appetite for gold is strong.
Analysts said demand for gold was fairly weak in the 1990s, but it has become an increasingly popular investment option in the last few years.
The sustained interest in gold as an investment option has also led to its prices being more sensitive to market movements.
Vasu Menon, Head of Content & Research with OCBC Wealth Management, said: "In the short term, its hard to make predictions where gold is headed. Gold is a very volatile asset class. Investors who want to buy gold must remember that number one, they must have the appetite for risk."
-CNA/ac
Published on 23rd August 2011
http://www.channelnewsasia.com/
SINGAPORE: As international gold prices hit record highs, some banks said there is greater appetite from local investors purchasing gold investment products.
Analysts predict gold prices could go as high as US$2,500 an ounce, compared to US$1,400 at the beginning of the year.
According to United Overseas Bank (UOB), more people are enquiring about and purchasing gold investment products, such as gold bars and coins. The bank has seen a 20 per cent increase in gold coin purchases compared to earlier this year.
Citybank said interest in gold investment accounts and gold-related funds has also doubled since last year.
According to the World Gold Council, the Asian appetite for gold is strong.
Analysts said demand for gold was fairly weak in the 1990s, but it has become an increasingly popular investment option in the last few years.
The sustained interest in gold as an investment option has also led to its prices being more sensitive to market movements.
Vasu Menon, Head of Content & Research with OCBC Wealth Management, said: "In the short term, its hard to make predictions where gold is headed. Gold is a very volatile asset class. Investors who want to buy gold must remember that number one, they must have the appetite for risk."
-CNA/ac
Monday, August 15, 2011
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