Posted on 01/03/2006 9:03:08 AM PST by DebtAndDelusion
Gold advanced as investors bought the precious metal on expectations that price gains will extend into this year and on demand from Asian jewellers.
Gold for immediate delivery rose as much as $8.60 to $520.60 an ounce. That's the biggest intraday percentage gain since December 28. Gold for delivery in February rose as much as $3.30 to $522.20 an ounce in after-hours trading on the Comex division of the New York Mercantile Exchange.
The precious metal last year had its fifth annual increase in 2005 after reaching a 24-year high of $541 an ounce on December 12 as investors diversified from stocks, bonds and currencies amid concern inflation may rise crimp returns. Jewellery demand is ``at its highest ever,'' the World Gold Council said in December 2005
Otherwise how will honest and hard working Americans be able to buy gold?
Gold is going to the moon this year. Those guys in Washington DC either need to quit printing so much money or resume short selling of gold they don't have (excuse me, I mean "leasing") or else this thing is going to 600 by Valentine's Day.
And then the Asians will really start buying all the gold!
HG
I remember the gold bugs here on FR talking about buying gold when it was $380 (not that they don't always recommend buying). I suspect as the Chinese become more affluent with their new found wealth they will be buying lots of gold given their massively under-valued currency.
The value of gold never changes. The price , however, does.......
Yep, those dang Asians sure do want a lot of gold rings!
Now I don't doubt that Asian jewellers are demanding a lot of gold. But we have already mined enough gold that Asian jewellers could be making rings for decades and we wouldn't have to mine another ounce of the precious metal. Seriously, the inventories in central banks are really that large.
There's something else going on here. And it has to do with the ratio of dollars in circulation to the number of ounces of mined gold (extremely large and stable). Hint: Don't focus on the gold.
Spoken like a supply sider. Are you?
The value of gold is always that of a store of wealth and barometer of the times. Those DC central bankers just keep printing more and more money -- but you can't manufacture gold with a computer entry or a printing press.
Some poor guy has to mine it out of the Earth like in West Virginia -- only worse.
Now they say some big Washington DC crook has pled guilty and is going to bring down the whole thievin' DC bunch. And meanwhile the Asians are buying all the gold.
I think it will be a very interesting year.
HG
Yes.........
Body Piercings.........
FDR was total idiot.........
The miners went nucking futz today. Gold and silver have resumed their slow grind towards "a google," or some equally impressive long-term objective. Nice start to the year.
sw
The precious metals are in a bull market that could equal the percentage gains of the 70s-80 bull. Wait until you hear people talking about gold and silver in the same way people discussed tech stocks back in the late 90s. Then sell the tea set.
I agree, and I expect we will see gold go through $600 before mid-year. Aside from any other factors, there is the build up of inflations on the currencies, with energy prices as they are.
One gets some good advice here on FR. I got some good health tips too.
Have always been a gold bug myself.
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