Precious Metals

Two Gold ETFs Ripe For A Buy: GDX, GDXJ

"When it comes to playing the gold comeback, there are plenty of trading options. The Market Vectors Gold Miners ETF (GDX) is performing well in short-term trade. But I’m much more interested in its potential breakout over $31. The stock is getting within spitting distance of its post-crash intraday high of $30.96 (which it posted back in May). If it can close above that level, it will be well on its way to filling in that nasty gap lower from April. That said, GDX is a buy at $31. If you’re feeling adventurous, the Market Vectors Junior Gold Miner ETF (NYSE:GDXJ) might be right up your alley." Continue reading →

Continue ReadingTwo Gold ETFs Ripe For A Buy: GDX, GDXJ

This is the way they’ll ‘nationalize’ gold

"What they’re really trying to do is send a clear message– if you use Bitcoin, there will be consequences. This isn’t even really about Bitcoin. The big picture issue is that governments are scared to death of currency alternatives catching fire. With so much debt and monetary stress in the global economy, it’s becoming increasingly clear by the day that the current fiat experiment is in serious trouble. The only reason it still works is because (a) people continue to have confidence in the system, and (b) there really is no mainstream alternative to holding paper currency. This last fact is paramount." Continue reading →

Continue ReadingThis is the way they’ll ‘nationalize’ gold

This is the way they’ll ‘nationalize’ gold

"What they’re really trying to do is send a clear message– if you use Bitcoin, there will be consequences. This isn’t even really about Bitcoin. The big picture issue is that governments are scared to death of currency alternatives catching fire. With so much debt and monetary stress in the global economy, it’s becoming increasingly clear by the day that the current fiat experiment is in serious trouble. The only reason it still works is because (a) people continue to have confidence in the system, and (b) there really is no mainstream alternative to holding paper currency. This last fact is paramount." Continue reading →

Continue ReadingThis is the way they’ll ‘nationalize’ gold

Export stats confirm massive outflow of Western gold to Asia, maybe ETF gold

"The London Bullion Market Association said that the daily cleared trading volume on the London market by its members hit a 12-year high of 900 tonnes -- worth $39 billion -- in June on the back of 'strong physical demand particularly from China and India.' At the same time Swiss gold refiners, such as Metalor, Pamp, Valcambi, and Argor-Heraeus, have enjoyed a boom, melting down large 400-ounce bars from London vaults and reprocessing them into smaller products that are preferred by Asian buyers. 'The Swiss are running three or four shifts to keep the refineries going non-stop. They're throwing bodies at it,' said one senior gold trader." Continue reading →

Continue ReadingExport stats confirm massive outflow of Western gold to Asia, maybe ETF gold

Marc Faber: I would own physical gold

"Faber noted weakness in such sectors as home builders, retailers, airlines and food companies. That made the precious metal a strong play, he added. 'First of all, I have a preference for physical gold, held in a safe deposit box outside the United States, and preferably in Asia, for a variety of reasons,' he said. Faber chided gold bears for missing the precious metal's 1999-to-2011 bull run. Faber also said that he had recently bought stock in Newport Mining, Freeport-McMoRan and Barrick. As a member of their boards, Faber also owned equity in Ivanplats, NovaGold and Turquoise Hill, he added." Continue reading →

Continue ReadingMarc Faber: I would own physical gold

India to launch Save Gold Campaign to convince consumers to deposit gold

"India's bullion industry is set to revive its gold deposit scheme in a bid to mobilise gold coins and bars lying idle. The Save Gold Campaign (Swarna Bachao Abhiyan) is hoped will mop up some of the gold currently lying fallow with individuals, banks, high networth individuals, charitable trusts and even temple trusts, that is estimated to be as much as 25,000 tonnes. The consumer would take sealed gold and authenticity certificate to the bank, which would issue a deposit certificate for a valid period, ranging from one and a half to three years. After the said period, the depositor would get the gold back with interest as promised by the bank." Continue reading →

Continue ReadingIndia to launch Save Gold Campaign to convince consumers to deposit gold

Indian gold imports set to resume after 4-week halt as export rule clarified

"A resumption of imports would ease tight domestic supply and prices ahead of a festival and wedding season that kicks off next month. Indian imports would also support benchmark international gold prices, which hit a two-month high on Monday. The confusion centred on a rule that required importers to re-export at least 20 percent of all imports, known as the 80/20 rule. Last week, the Reserve Bank issued detailed guidelines on how the rule would work, but the complexity of the rule had prevented banks from importing immediately. Banks are the main importing agencies for gold into India." Continue reading →

Continue ReadingIndian gold imports set to resume after 4-week halt as export rule clarified

Asians Buy Gold. Westerners Sell It.

"American investors did not buy physical gold, but instead bought ETFs — promises to pay money, not gold — because commissions were lower than coins. But the commodities futures organizations are now facing the lowest inventories of deliverable gold ever. If the owners of contracts for future deliveries — 'longs' — start taking delivery, the exchanges will have to deliver digital dollars instead. Westerners like George Soros and John Paulson have been selling their paper gold positions. Asians are taking delivery of physical gold. You can’t make jewelry out of digits. Who is selling physical gold? No one in the industry knows." Continue reading →

Continue ReadingAsians Buy Gold. Westerners Sell It.