Each weekday, Cash4Gold will troll through the web's gold banter and post some of the bigger or more interesting stories. Following is a run-down of today's features:
"Gold, Metals Slide on Dollar's Strength"
Author: Allen Sykora
Website: WSJ.com
Main Points: Gold for August delivery fell $10.10 to settle at $952.50 an ounce today, a slide driven primarily by a strengthening dollar.
George Gero, vice president of RBC Capital Markets Global Futures, pointed to a sell-off of Comex gold, losing nearly 10,000 contracts.
"I think there is a little more downside to this," said Daniel Pavilonis, senior market strategist with Lind-Waldockas, "long as the dollar continues to rally," He expects gold to rise again once the dollar weakens.
Analysis: The slide continues. Not only has gold fallen nearly $30 spanning the past two sessions, but the price of gold has fallen $10 or more in three of the past four (including Wednesday, when it fell $18.80).
Experts had issued the warning that gold historically drops sharply upon approaching or briefly eclipsing $1,000 an ounce. That certainly has been the case since last week, after a more or less spotless month of May in which $1,000 seemed to be automatic.
Monday, June 8, 2009
New York Times on June 8: "The Industry Leader is Cash4Gold"
The advertising section of The New York Times today reported that Cash4Gold is the industry leader in the mail-in refining business that the company pioneered.
A column which appeared in today’s print and online editions of the newspaper noted that Cash4Gold.com's "best known commercial made its debut during the Super Bowl" last year and has led to a tripling in the number of transactions it performs for its customers.
Quotes from Cash4Gold's CEO Jeff Aronson to The Times underscored the company's total commitment to providing 100 percent customer satisfaction in each of the 900,000 transactions the company has performed so far.
Today's mention in the New York Times comes on the heels of a June 5 CBS News story announcing Cash4Gold's estimate of the value of a necklace received as a gift by President Barack Obama during a visit to Saudi Arabia.
Certified jewelers at Cash4Gold examined photographs of the King Abdul Aziz Order of Merit given to the President Obama by Saudi King Abdullah, estimating that the gold necklace and medallion contain as much as $25,000 worth of gold.
In a statement, Cash4Gold noted that because the piece confers Saudi Arabia’s highest honor on President Obama and was given to President Obama on a historic visit to the Middle East, the symbolic value of the piece most likely surpasses its melt value.
"I do not expect that President Obama will mail his King Abdul Aziz Order of Merit to Cash4Gold, but if the Obamas or any other Americans want to tap the value of old or broken gold jewelry lying around the house, now would be a great time to send it to Cash4Gold," said CEO Jeff Aronson.
A column which appeared in today’s print and online editions of the newspaper noted that Cash4Gold.com's "best known commercial made its debut during the Super Bowl" last year and has led to a tripling in the number of transactions it performs for its customers.
Quotes from Cash4Gold's CEO Jeff Aronson to The Times underscored the company's total commitment to providing 100 percent customer satisfaction in each of the 900,000 transactions the company has performed so far.
Today's mention in the New York Times comes on the heels of a June 5 CBS News story announcing Cash4Gold's estimate of the value of a necklace received as a gift by President Barack Obama during a visit to Saudi Arabia.
Certified jewelers at Cash4Gold examined photographs of the King Abdul Aziz Order of Merit given to the President Obama by Saudi King Abdullah, estimating that the gold necklace and medallion contain as much as $25,000 worth of gold.
In a statement, Cash4Gold noted that because the piece confers Saudi Arabia’s highest honor on President Obama and was given to President Obama on a historic visit to the Middle East, the symbolic value of the piece most likely surpasses its melt value.
"I do not expect that President Obama will mail his King Abdul Aziz Order of Merit to Cash4Gold, but if the Obamas or any other Americans want to tap the value of old or broken gold jewelry lying around the house, now would be a great time to send it to Cash4Gold," said CEO Jeff Aronson.
Friday, June 5, 2009
Today in Gold: Friday, June 5
Each weekday, Cash4Gold will troll through the web's gold banter and post some of the bigger or more interesting stories. Following is a run-down of today's features:
"US gold ends 2 pct down, near $950/oz on dlr rally"
Author: James Pethokoukis
Website: Reuters.com
Main Points: Gold for August delivery fell $19.70 to finish the week at $962.60 an ounce amid better than expected jobless reports. The price was as low as $953.80 an ounce, the lowest since May 28.
Some analysts believe that gold could weaken further based on historic data following a rally approaching $1,000 an ounce during the past two years.
Analysis: What a week in gold.
Monday: Down $.30
Tuesday: Up $3.20
Wednesday: Down $18.80
Thursday: Up $16.70
Friday: Down $19.70
Overall, gold was down $16.20 since the end of last week's session. After a month dominated by rallies, gold dropped $18 or more in one session twice this week -- and twice in three days. The charting history of falling after approaching $1,000 an ounce certainly works so far. We'll see where we go from here next week.
"US gold ends 2 pct down, near $950/oz on dlr rally"
Author: James Pethokoukis
Website: Reuters.com
Main Points: Gold for August delivery fell $19.70 to finish the week at $962.60 an ounce amid better than expected jobless reports. The price was as low as $953.80 an ounce, the lowest since May 28.
Some analysts believe that gold could weaken further based on historic data following a rally approaching $1,000 an ounce during the past two years.
Analysis: What a week in gold.
Monday: Down $.30
Tuesday: Up $3.20
Wednesday: Down $18.80
Thursday: Up $16.70
Friday: Down $19.70
Overall, gold was down $16.20 since the end of last week's session. After a month dominated by rallies, gold dropped $18 or more in one session twice this week -- and twice in three days. The charting history of falling after approaching $1,000 an ounce certainly works so far. We'll see where we go from here next week.
Thursday, June 4, 2009
Today in Gold: Thursday, June 4
Each weekday, Cash4Gold will troll through the web's gold banter and post some of the bigger or more interesting stories. Following is a run-down of today's features:
"US gold rises 2 pct on crude rally, inflation fears"
Author: James Pethokoukis
Website: Reuters.com
Main Points: Following the biggest drop in more than a month on Wednesday, the price of gold nearly made up all of the ground it lost by rising $16.70 to finish Thursday's session at $982.30 an ounce.
The jump was largely attributed to oil. Goldman Sachs raised its oil forecast from $65 to $85 a barrel for 2009. Goldman also labeled the recent oil rally as the first stage in economic recovery.
Analysis: Gold and oil typically maintain a ratio of around 14:1 -- it finished at 14.14 today.
Note that during the past two years, gold has historically dropped sharply after approaching or eclipsing the $1,000 threshold. It did so yesterday, and tomorrow could be a sign of what is to come.
"US gold rises 2 pct on crude rally, inflation fears"
Author: James Pethokoukis
Website: Reuters.com
Main Points: Following the biggest drop in more than a month on Wednesday, the price of gold nearly made up all of the ground it lost by rising $16.70 to finish Thursday's session at $982.30 an ounce.
The jump was largely attributed to oil. Goldman Sachs raised its oil forecast from $65 to $85 a barrel for 2009. Goldman also labeled the recent oil rally as the first stage in economic recovery.
Analysis: Gold and oil typically maintain a ratio of around 14:1 -- it finished at 14.14 today.
Note that during the past two years, gold has historically dropped sharply after approaching or eclipsing the $1,000 threshold. It did so yesterday, and tomorrow could be a sign of what is to come.
Wednesday, June 3, 2009
Today in Gold: Wednesday, June 3
Each weekday, Cash4Gold will troll through the web's gold banter and post some of the bigger or more interesting stories. Following is a run-down of today's features:
"Gold prices fall sharply as dollar rebounds"
Author: Sara Lepro
Website: Google.com
Main Points: Gold dropped sharply today, falling $18.80 to finish at $965.60 an ounce. Meanwhile, the US dollar rebounded against the Euro and British pound.
Much of today's activity was in reaction to comments from Federal Reserve Chairman Ben Bernanke, who played down the threat of inflation and expressed concern over the country's massive debt load.
Analysis: Gold continues to be quite unpredictable on a day-to-day basis. The price of gold dropped during only five sessions in May, and two of those drops were less than $1.50. After being relatively flat the first two days of June, the bottom falls out today.
"Gold prices fall sharply as dollar rebounds"
Author: Sara Lepro
Website: Google.com
Main Points: Gold dropped sharply today, falling $18.80 to finish at $965.60 an ounce. Meanwhile, the US dollar rebounded against the Euro and British pound.
Much of today's activity was in reaction to comments from Federal Reserve Chairman Ben Bernanke, who played down the threat of inflation and expressed concern over the country's massive debt load.
Analysis: Gold continues to be quite unpredictable on a day-to-day basis. The price of gold dropped during only five sessions in May, and two of those drops were less than $1.50. After being relatively flat the first two days of June, the bottom falls out today.
Tuesday, June 2, 2009
Today in Gold: Tuesday, June 2
Each weekday, Cash4Gold will troll through the web's gold banter and post some of the bigger or more interesting stories. Following is a run-down of today's features:
"Gold Runs Back Toward $1,000 an Ounce"
Author: Carolyn Cui
Website: WSJ.com
Main Points: After finishing essentially flat on Monday, gold regained its upward momentum and rose $3.20 to finish Tuesday at $983.20 an ounce.
Part of the equation for the rise of gold has been the weakening dollar. As the US dollar weakens, gold strengthens -- historically speaking. Since mid-April, the dollar has dropped 9% while gold has risen 13%.
"I think we are getting into the final part of this particular rally," said Philip Klapwijk of GFMS Ltd., which forecasts gold's average price at $970. He says that the higher price will result in lower jewelry demand and higher scrap gold sales, "which is not a good combination for gold."
Analysis: Combined with the expected 403 ton sale of gold by the IMF, the scrap and jewelry market balance are all reasons why we shouldn't expect the price of gold to rise much higher. The jewelery industry is already struggling due to the high gold price; a higher price will only damage it further. As the price rises, selling scrap gold will become bigger and bigger business, thus putting more gold into the system. Supply is strengthened, demand is weakened.
"Gold Runs Back Toward $1,000 an Ounce"
Author: Carolyn Cui
Website: WSJ.com
Main Points: After finishing essentially flat on Monday, gold regained its upward momentum and rose $3.20 to finish Tuesday at $983.20 an ounce.
Part of the equation for the rise of gold has been the weakening dollar. As the US dollar weakens, gold strengthens -- historically speaking. Since mid-April, the dollar has dropped 9% while gold has risen 13%.
"I think we are getting into the final part of this particular rally," said Philip Klapwijk of GFMS Ltd., which forecasts gold's average price at $970. He says that the higher price will result in lower jewelry demand and higher scrap gold sales, "which is not a good combination for gold."
Analysis: Combined with the expected 403 ton sale of gold by the IMF, the scrap and jewelry market balance are all reasons why we shouldn't expect the price of gold to rise much higher. The jewelery industry is already struggling due to the high gold price; a higher price will only damage it further. As the price rises, selling scrap gold will become bigger and bigger business, thus putting more gold into the system. Supply is strengthened, demand is weakened.
Monday, June 1, 2009
Today in Gold: Monday, June 1
Each weekday, Cash4Gold will troll through the web's gold banter and post some of the bigger or more interesting stories. Following is a run-down of today's features:
"Gold prices flat as dollar falls, stocks rally"
Author: Sara Lepro
Website: Google.com
Main Points: Gold for June delivery dropped 30 cents to settle at $980 an ounce as appetite for riskier stocks increased -- despite a weaker dollar. Gold typically thrives on a weakened dollar, but it may have been what kept its value afloat amid increasing investor optimism.
Better-than-expected reports on manufacturing, construction and consumer spending led investors away from gold, generally considered a safe haven asset during tough economic times. The reports were so good that there were whispers that the recession may be coming to an end.
"Today you've seen money move into stocks," said George Gero of RBC Capital Markets Global Futures. "People are more willing to buy some risk than they were a week ago."
Analysis: Gold was in the midst of an incredible rally. Is it over? This goes to show you, once again, how quickly things can change. If similar reports continue to come in about the recession's upcoming demise, gold's value will lean heavily on its inflation hedge appeal.
If the dollar doesn't weaken yet again tomorrow, you'd have to expect this latest information is bad news for the immediate future of gold.
"Gold prices flat as dollar falls, stocks rally"
Author: Sara Lepro
Website: Google.com
Main Points: Gold for June delivery dropped 30 cents to settle at $980 an ounce as appetite for riskier stocks increased -- despite a weaker dollar. Gold typically thrives on a weakened dollar, but it may have been what kept its value afloat amid increasing investor optimism.
Better-than-expected reports on manufacturing, construction and consumer spending led investors away from gold, generally considered a safe haven asset during tough economic times. The reports were so good that there were whispers that the recession may be coming to an end.
"Today you've seen money move into stocks," said George Gero of RBC Capital Markets Global Futures. "People are more willing to buy some risk than they were a week ago."
Analysis: Gold was in the midst of an incredible rally. Is it over? This goes to show you, once again, how quickly things can change. If similar reports continue to come in about the recession's upcoming demise, gold's value will lean heavily on its inflation hedge appeal.
If the dollar doesn't weaken yet again tomorrow, you'd have to expect this latest information is bad news for the immediate future of gold.
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