GoldCore Update: Gold Under Pressure as Equities Fall and CFTC Investigates Manipulation
11 March 2010
Gold Gold fell sharply in a short period of time yesterday in US trading - falling from $1,127.35/oz to $1,103.45/oz to close with a loss of 1.26%. It has range traded from $1,105/oz to $1,109/oz so far in European trading this morning. Gold is currently trading at $1,105.70/oz and in euro and GBP terms, gold is trading at €811/oz and £739/oz respectively. Oil at over $82 a barrel would be expected to lead to inflation hedging buying but is not supporting gold today.
Owning Australian Gold Kangaroo Bullion Coins
Introduction Gold has outperformed all other asset classes in recent years and especially since the start of the global financial and economic crisis. This trend looks likely to continue and investors are increasingly realizing that they need to diversify their portfolios with an allocation to gold bullion. So how does one go about making a safe investment in gold? There are numerous precious metal investment vehicles now available. These include futures and options contracts, government certificates, digital gold, exchan
GoldCore Review of 2009 and Outlook for 2010
Review of 2009 and Outlook for 2010 Review of 2009 2009 has been a year of uncertainty for economies internationally. While there is reason for some festive cheer due to the recovery seen in the capital markets and in most asset classes, there is also reason for caution. Loose fiscal and monetary policies, quantitative easing and money creation on a scale not seen in living memory characterized 2009. This has led to concerns that there is now a new liquidity and ‘cheap money’ driven bubble in various asset classes including
Guide to Investing in Gold
How to invest in gold?
In this ‘Guide to Investing in Gold’ we hope to inform and educate investors and savers about why one should invest in gold and how to invest in gold. We will look at gold’s performance in recent years, why real portfolio diversification is needed now more than ever and the safest and best ways of investing in gold.
Go
Storing Bullion Internationally
INTRODUCTION
“Tis the part of the wise man to keep himself today for tomorrow, and not venture all his eggs in one basket.”
Many investors internationally will wish that they had paid attention to the wise old proverb used by Cervantes in Don Quixote in 1605.
The fundamental tenet of investment theory and of wealth growth and preservation is diversification. In layman's terms one should not have all the proverbial eggs in the on
Silver Set To Soar As It Did In The 1970s
Silver remains very undervalued on a historical basis (charts below) and is undervalued even against gold (chart below). While gold has begun to receive some interest from a small minority of retail investors, silver remains the preserve of relatively few contrarian investors and the media and financial press rarely, if ever, covers silver. And yet silver is quite likely in the intermediate stage of a bull market that will rival or surpass that of the 1970s.
Silver is
The World's Most Precious Precious Metal
The Platinum Group Metal With Very Interesting Fundamentals
Introduction
While gold and it’s very attractive little sister silver have attracted the attention of some investors of late, there is a metal that is far, far rarer and has fundamentals that merit inv
Seven Myths About Gold (Extract)
The most common arguments, myths, and points of criticism about gold There are numerous associations, points of criticism, and arguments in relation to gold, some of which are just plain wrong. On the following pages we want to address seven of the most commonly raised issues.
Myth # 1: Gold is (too) expensive One might as well say that it is not the price of gold that rises, but the value of the respective paper currency that falls. Gold preserves the purchase power and in fact even increases it gradually. Comparing how
The Diversification Benefits of Gold
You may have heard the old Wall Street Saying,” Put 10% of your money into Gold and hope it doesn't work". Well its seems to be true, our research team here at GoldCore have run some interesting numbers and have found that a simple portfolio mix of Gold and equities throws up some very solid numbers indeed. Have a look at our Research Report below for yourself.
Shifting wealth: Is the US dollar Empire falling?
If history is any guide, the Chinese renminbi will soon be due to overtake the US dollar, just as the dollar replaced the pound sterling last century. But will the renminbi be ready for reserve currency status? This column discusses the issues at hand and explains why some experts would prefer the IMF’s Special Drawing Rights as the next global reserve currency. Just ahead of the G20 London Summit in April, Zhou Xiaochuan (China's central bank governor) proposed replacing the US dollar as the international reserve currency with a new global system cont
Important Books
Gold Trading Boot Camp by Greg Weldon
Gregory Weldon, a veteran commodities speculator and expert on the subject, has mastered the gold-trading rules through more than two decades of hard-won experience. And now, in Gold Trading Boot Camp, he tells you everything you need to know when going to battle in today's volatile trading environment.
Throughout history, gold has been an exceptionally safe and effective storage vehicle for the preservation of wealth. During certain periods, however, when political instability consumes headlines and intensifies
Important Commentators
Greg Weldon Founder of Weldon Financial
Greg Weldon is a macroeconomic, commodities and precious metals expert and author of 'Gold Trading Boot Camp.'
He is the founder of Weldon Financial which is recognized within the industry as one of the top macro-research firms in the world.
Greg began his successful career in the financial markets “in the middle of the mayhem”, in the Comex Gold and Silver Pits. He quickly discovered that a trader’s instincts are his most valuable resource, along with vigilant analysis of the fundamental data
Fundamentals
When investing in any asset class whether they be paper assets like bonds and equities or tangible assets like property and precious metals, an investor should do their own 'due diligence' or extensive study and research and have a basic understanding of both the fundamental and technical analysis of the investment.
Fundamental analysis is as its name suggests an analysis of the basic factors influencing the future price movement of an investment. Supply and demand factors are the key determinants along with other economic data such as total debt to GDP ratios, currency movements
SIPPs
SIPPs are Self-Invested Personal Pensions which are new types of personal pension schemes recently introduced by the UK government. The SIPP itself is a pension 'wrapper' that holds investments until you retire and start to draw a pension income. SIPPs allow investment in a range of different asset classes including gold bullion.
SIPPs are designed for people who want to manage their own pension fund by investing in assets of their choice. SIPPs allows individuals who pay income tax in the UK to invest their SIPP in a range of asset classes, one of which is gold bullion.
Gold in a Pension
Residents in the UK can now invest in gold bullion in their pension funds. UK citizens can as of April 2006 invest in gold bullion through their Self-Invested Personal Pensions (SIPPs). US citizens could already do so in their Individual Retirement Accounts.
SIPPs are Self-Invested Personal Pensions which are new types of personal pension schemes recently introduced by the UK government. The SIPP itself is a pension 'wrapper' that holds investments until you retire and start to draw a pension income. SIPPs allow investment in a range of different asset classes including gold bulli
Are Your Precious Metals Held By A Third Party?
When having precious metals investments held by the selling dealer or another custody company, how can investors know their precious metals really exist and that they are, in fact, being securely stored for their benefit?
When buying precious metals, or any investment for that matter, most investors today take precautions to ensure they are dealing with a reputable seller, so they can be confident their transactions will be completed properly and delivery of the investment products they purchase will actually be made. These investors may ask for, and check the dealer's refe
Should I Store Securely or take Possession?
This depends on your motivation for buying precious metals. If you are simply investing in precious metals in order to diversify and in order to make a return then it is more cost effective to buy bullion and store it with a secure third party or own government certificates. If however your motivation is to own bullion in order to protect against macroeconomic and systemic risk and for financial insurance purposes rather than solely diversification and capital appreciation then you may elect to own and take delivery of your bullion.
If electing to store bullion with a third party
Macroeconomic & Systemic Risk
Macroeconomic risk is the risk posed by the business and economic cycle in the form of recessions and monetary threats of deflation, inflation, stagflation and hyperinflation.
Systemic risk are risks that relate to or affect the entire body, the entire organism or the entire global financial system. It is the risk of collapse of an entire system or entire market and not to any one individual entity or component of that system. With increasing fears regarding the very solvency of the US and international financial system, systemic risk has never been more heightened.
Gold
Geopolitical Risk
Geopolitical risk simply means international political risk as posed by international economic, diplomatic and military tensions.
With the end of the Cold War, geopolitical risk was greatly diminished and many financial analysts believed it had been banished to the dustbin of history. But since 2001, geopolitical risk has been increasing and the threat of terrorism and war is an ever present process that can affect investors and savers wealth.
Geopolitical risk has been ignored in recent months as the financial and economic crisis has rightly taken centre stage. But it i
ETFs vs. Physichal Gold
•The Perth Mint Certificate Programme has advantages over ETFs for investors with a medium to long term horizon •ETFs have an annual administration fee which make them uncompetitive for medium or long term investors •ETFs are not direct ownership of physical gold •ETFs have counterparty and custodian risk •ETFs are more suitable Speculators •PMCP is more suitable for Investors seeking Diversification
Many of our clientele and subscribers to our newsletters / articles of interest have let us know of their g