Singapore and Indian Brokers Sold Out;

Singapore and Indian Brokers Sold Out; Shanghai Gold Volumes Surge 55%

Today’s AM fix was USD 1,384.50, EUR 1,074.01 and GBP 919.14 per ounce.
Yesterday’s AM fix was USD 1,379.00, EUR 1,067.42 and GBP 913.43 per ounce.

Gold fell $13.70 or 0.98% yesterday to $1,381.00/oz and silver finished down 1.59%.

Gold edged higher today supported by strong physical demand internationally and especially in Asia.

GoldCore Market Performance Table

The paper gold market remains volatile and is likely to get more volatile but this is not deterring physical buyers and premiums remain strong in most markets.

Premiums in India and Hong Kong have fallen from the very high premiums of recent days but Singapore, Shanghai, Dubai, Turkey and western markets continue to see high premiums.

Overnight the volume for the Shanghai Gold Exchange’s cash contract surged 55% to 15,641 kilograms from a two-week low of 10,094 kilograms on May 27.
Gold Spot $/oz, Daily, 3 Year– (Bloomberg)
Gold Spot $/oz, Daily, 3 Year– (Bloomberg)

The U.S. Mint sales of gold coins were the highest in 3 years after demand surged on the recent price drop.

Yesterday, the U.S. Mint resumed sales of their 1/10th ounce gold coin after the mint ran out of inventory last month and suspended sales amid record demand.

Asian gold demand from this April to June will reach a quarterly record as bullion buyers in China, India and the rest of the region take possession of supply freed up by selling from exchange-traded funds (ETFs), The World Gold Council said.

Those who continue to focus on gold’s academically and historically proven safe haven qualities as an important diversification will again be rewarded in the coming months.

News From Around The World
Asia gold demand to hit quarterly record, absorb ETF outflow - WGC
Reuters
Bernanke Out By August, QE Ends, Rates Up: Crash Market Watch
Huge Rally Fuel in Place for Gold Futures Got Gold Report

Insight: Cyprus, Energy & Gold: Wealth Protection In A Lawless World
April's edition of Insight takes a close look at the recent banking crisis in Cyprus and how it is causing other states to consider the imposition of taxes on depositors' savings. The reasoning behind these 'taxes' is to part cover the colossal levels of indebtedness that most nations find themselves in.
Chris Sanders, our Insight April contributor, maintains that it is only capital accumulation enabled by real economic growth that can alleviate the massive levels of indebtedness. Unfortunately, Sanders finds that this is nigh on impossible given the excessive energy costs required, or as he puts it, 'the marginal energy to power such growth is not there to do so.'

On April 15th, a small number of traders executed a suspicious sale of futures on the COMEX in New York which resulted in an 18% fall in the price of gold. Sanders points out that on the one hand we have this level of indebtedness that isn't going to go away, and on the other, we have a financial system that appears to operate outside the general rule of law. When you take everything into account, Sanders surmises that it's all a great advertisement for holding gold or silver in secure storage on an allocated basis.

ends

© Scoop Media