Gold’s Fear Trade Intensifies on Debt and Equity Risk

Gold’s Fear Trade Intensifies on Debt and Equity Risk

“For centuries, investors and savers have depended on gold in times of economic and political strife, and its investment case right now is as compelling as it’s ever been.” As I write this, gold is trading above US$1,330 an ounce after a strong rally that took the metal to its highest levels since August 2016. Tensions over North Korea, a weakening US dollar, political uncertainty in Washington, an overvalued US stock market, surging public and…

Precious Metals Are Going To Get A Lot More Precious

Precious Metals Are Going To Get A Lot More Precious

Gold led the charge to recent highs. A correction where the weak get weaker and the strong stay strong. Geopolitics favor precious metals. The path of least resistance for the dollar is supportive for the sector. The long-term trends support buying dips; hold your nose and ignore the naysayers. In their heyday of acceptance and utility, governments employed gold and silver as comfort for their paper currencies. While countries around the world abandoned their policies…

Gold Trades at Highest in a Year

Gold Trades at Highest in a Year

Gold continued its march higher Friday after striking a one-year closing high in the previous session as the dollar and U.S. Treasury yields skidded lower. The yellow metal gained, and was on track for a roughly 1.7% weekly gain for the most-active futures contract, as continued strength in the euro pushed the buck toward its worst week in more than three months.

Gold Adds to 4% August Climb

Gold Adds to 4% August Climb

Gold climbed on Friday, adding to its roughly 4% surge for August, after a closely watched snapshot of the U.S. job market revealed tepid late-summer hiring and almost no paycheck growth. The report keeps alive the close debate over whether the Federal Reserve has a green light to raise interest rates again this year given still-concerning low inflation readings, including within wage data.

Gold Gains as Washington Stumbles

Gold Gains as Washington Stumbles

Sentiment in Washington has shifted: There is now more that can go wrong than right, many say. The Dow Jones Industrial Average posted its biggest decline in three months on Thursday, one week after a similar selloff of similar scale sent stock indexes tumbling around the world.

U.S. Banks’ Precious Metals Derivative Exposure Surged

U.S. Banks’ Precious Metals Derivative Exposure Surged

According to the most recent report on the U.S. Financial Institutions Derivatives trading activity, U.S. banks held a record amount of precious metals contracts in the first quarter of 2017. Not only did U.S. banks report a record amount of precious metals contracts, but they also held an unprecedented quantity in notional value of commodity and equity derivative contracts.