The Chinese gold imports from Hong Kong in April, 2012 surged almost 1300% on a YoY basis. Total gross imports for the month of April were 103.6 tonnes and the net imports were 66.3 tonnes1....This represents an increase of 640%.
Japanese pension funds have finally discovered the value of investing in gold. The $500M Okayama Metal and Machinery pension fund placed 1.5% of its assets into gold bullion-backed ETFs in April in order to "escape sovereign risk"4.
When buyers representing 140 tonnes of new demand enter a market which only has 175 tonnes of monthly supply, we are left wondering ....
I don't think anyone is saying that gold will "run out" as such. Just that those with gold may not be willing to accept any amount of fiat currency in return for it.Regardless you can't claim to have run out of gold simply because your currency is worthless, gold will have a price and will be available, you will simply have to pay the price to obtain it, whatever it is... peanuts or kryptonite, there will be something to trade and we will not "run out".
Greece goes OK, Ben disappoints and we sell off to "the low"...
What is your guess?
....
.......just depends how deep your pockets are?
if gold catches up with the increase in the monetary base since 1920 (as it did in the early 80s), its price would rise to USD 8500/Oz," adding that just "to close the gap with the monetary base increase since July 2007, gold would have to rise to $1,900/oz, assuming full transmission from the monetary base increase to the gold price.
The real interest was in the PUT options, implying that investors are putting on more and more bets against the devil’s metal. We saw more than 100,000 Put options trade hands this Thursday with about 40,000 of those taking place in the front-month July expiration. That is almost triple the normal volume in options and it is interesting that it is happening this close to 52-week lows.
With silver now close to a 52-week low and with the bets growing for even more weakness, we would note that this is usually the sign of a key inflection point being very near. That does not necessarily mean that silver is going to bounce, but if it trades much lower from here then it may take the hot air out of the devil’s metal for quite some time.
India Prepares to Counter Rupee’s Slide
By Kartik Goyal and Unni Krishnan - Jun 25, 2012 9:33 PM ET
India boosted the amount of government bonds foreign investors can purchase by $5 billion, seeking to bolster demand for the rupee after it tumbled to a record low against the dollar.
Foreign institutional investors can now purchase $20 billion worth of government securities, up from $15 billion, the Reserve Bank of India said in a statement today. Long-term overseas buyers such as sovereign wealth funds, central banks and pension funds will be allowed to invest in the debt directly to broaden the base of investors, the Reserve Bank also said.
Enlarge image India Said to Consider 12 Rupee Measures Including Debt Limit
The rupee pared gains after the statement as expectations of wider steps, spurred by Finance Minister Pranab Mukherjee’s comments two days ago that officials will announce measures to stabilize the currency, were disappointed. The rupee is Asia’s worst performer of the past year, having tumbled 21 percent versus the dollar, and its decline has contributed to an inflation rate that the central bank deemed last week too high to allow an interest-rate cut.
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have to agree......gold is a great trade, a garbage investment
Garbage is a pretty harsh word -
Had you "invested" in some shiny stuff 10 years ago for example how much would your investment be worth now I wonder? Perhaps compare that to some non-garbage investments ?
Yes, But but not a very good one. Any asset can be used for this purpose, and many other assets generate income at the same time, and can currently be purchased at very low prices. Compared to gold which will not produce income and is trading at very high speculative levels.It is a store in which to hold ones wealth, nothing more or less.
With all their many other primary responsibilities you can bet Gate's and Buffet would not have the knowledge of those who have made the subject of gold the prime one
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Had you "invested" in some shiny stuff 10 years ago for example how much would your investment be worth now I wonder? Perhaps compare that to some non-garbage investments ?
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