The Gold Economy

JP Morgan, a foremost and global financial services market leader has predicted a surge in the price of gold to attain $2,500 or higher per ounce by year end according to a statement credited to Colin Fenton and Jonah Waxman who are commodity analysts of the financial services giant.

Also, Goldman Sachs expects gold prices to continue to climb into 2012 considering the low level of the real interest rates of the United States and sovereign  debt problems in the US and Europe.  The most interesting thing is the rise in the price of gold in… Continue reading

Public Relation people at Goldman Sachs can not be too happy about this.

Although gold prices softened somewhat on Tuesday, following a margin hike in US crude futures, it is predicted that concerns over Greece’s debt crisis will limit the downside.

Spot gold was seen rising for two consecutive sessions, but on Tuesday it went down some 0.4 per cent, to US$1,507.44. COMEX gold went up 0.3 per cent to US$1,507.80.

A Singapore-based trader said that we can expect to see gold trading in the range between US$1,470 and US$1,520 in coming days.

On May 9, holdings in the world’s largest physically backed exchange-traded fund – the SPDR Gold Trust… Continue reading

WTI (West Texas Intermediate) Crude Oil futures traded at its lowest in almost two months in New York on Thursday, May 5 in its biggest selloff in two years, plunging 8.6% on the day to below the $100 mark (Fig. 1).  Brent crude on ICE also dropped as much as $12.17, or 10%, which was the largest in percentage terms not seen since the Lehman Brothers financial crisis, and the largest ever in absolute terms, according to FT.
The epic waterfall was partly due to the combination of a strengthening dollar after European… Continue reading