Posted on 02/12/2010 11:14:28 AM PST by blam
Gold Nears Record High vs. Euro As German Economic Recovery Stalls
Commodities / Gold and Silver 2010
Feb 12, 2010 - 12:43 PM
By: Adrian Ash
THE PRICE OF GOLD lost half yesterday's rise vs. the US Dollar on Friday in London, heading into the weekend some 1.9% higher from last week as government bonds rose and European shares held flat overall.
Gold priced in Euros rose back above €800 an ounce, nearing yesterday's 1-week high – and only 1.5% below its all-time peak of Dec. – after Thursday's EU summit ended with no action on Greece's deficit crisis.
The Euro today fell to a new 9-month low on news that Germany's economic recovery stalled in the last quarter of 2009.
"Clearly, the Dollar price of metals does badly when the Dollar is rising," says the VM Group's latest Fortis Metals Monthly report.
"There is [also] good reason to believe the price of metals in other currencies will fall" when the Dollar rises on the forex market, the London consultancy adds, "because there will be a real impact from a rise in the Dollar price, and the Dollar area is important for producers and consumers of most metals."
Reviewing the Dollar's three bull runs since 1980, however, metal prices measured in a basket of other leading currencies "actually tended to increase" in 1995-2002.
In the Dollar's bull run of 2008-2009, all metals fell "except gold".
"In Euro terms," notes the latest Weekly Commodities from French bank Natixis, the recent "fall in gold prices was only 2.5%, demonstrating the importance of your perspective when considering the use of gold as a safe-haven store of value.
"Gold may be an excellent store of value in protecting you from debasement of your own currency
[snip]
(Excerpt) Read more at marketoracle.co.uk ...
HUH?
In December Gold was over $1200 now it’s been ~$1100 since
What's that in real money?
$1088.88.
HUH?
In December Gold was over $1200 now it’s been ~$1100 since
I guess the stimulus they got from our cash for clunkers program has ended.
Given the poor service record and poor reliability of most German cars, I can see why they called the program "Cash for Clunkers!"
Toyota isn’t doing so well either.
you asking for the price in renminbi ?
service is a local business.
Yuan the right track...
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