Posted on 06/18/2010 5:12:26 AM PDT by TigerLikesRooster
Gold holds near record as haven buying supports
Jan Harvey LONDON
Fri Jun 18, 2010 6:40am EDT
7:40pm GMT+0900
LONDON (Reuters) - Gold held within reach of record highs in Europe on Friday as buyers looked to it as a haven against persistent fears of sovereign risk in Europe and after lackluster U.S. data raised doubts over wider economic recovery.
The precious metal's gains were limited, however, as immediate concerns over the euro's outlook were allayed by solid demand at Spanish bond auctions, which eased fears about the government's debt-servicing ability.
Spot gold was bid at $1,244.65 an ounce at 1017 GMT, against $1,243.40 late in New York on Thursday. U.S. gold futures for August delivery eased $2.30 to $1,245.40.
Prices had reached $1,250.65 on Thursday, close to the record $1,251.20 of last week. Its move came despite a rise in the euro, weakness in which has lifted gold this year as investors bought the metal as an alternative to paper currencies.
"The main driver behind gold is not the currencies; it is the underlying fundamental problems, especially here in Europe," said Commerzbank analyst Daniel Briesemann.
(Excerpt) Read more at reuters.com ...
P!
Ha! I posted a similar story 16 seconds after this one and even pinged you to it.
An ounce of Gold will be 1000 British pounds before the end of the year.
Yeah, you can ping me anytime.:-)
whereas the AP author here thinks the rise is a purely American caused incident.
http://www.freerepublic.com/focus/f-news/2537085/posts
The dollar is down a few percent in the past week while the euro is up a few percent, so there is merit to this way of thinking. Gold is priced in dollars so all other things being equal, if the dollar drops a percent gold rises a percent. (Of course all things are rarely equal so there is considerable noise in the data...)
$1259 just now when I checked...
In general Europeans have been more traditionalist about gold and gold friendly.....They have a memory of wars and chaos where some gold came in handy. WW2 was fought on European soil, it was not fought here at all. They have seen currencies destroyed and replaced
“An ounce of Gold will be 1000 British pounds before the end of the year.”
If gold goes up that much, that quick, we’ll be in a financial collapse.
I think you’re you’re right, but I hope you’re wrong.
Gold Hits New High 100618
http://www.youtube.com/watch?v=oJHiB3SSvVk
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