Malaysia Gold Investment

The gold price oscillated between gains and losses on Monday as financial markets consolidated following their recent substantial risk-on rally. Gold prices traded near unchanged at $1,624 per ounce this morning while the U.S. Dollar Index (DXY) rose 0.2% to 82.858 against a basket of foreign currencies.  The euro currency dipped 0.5% to 1.2258 against the greenback, thereby relinquishing a portion of its recent advance. Last week the gold price climbed 2.5% to a multi-month high above $1,630 per ounce – its best such stretch since a 3.1% jump from May 29 through June 1 – amid escalating prospects for further monetary easing across the globe.  In doing so, the spot price of gold extended its gains for July to 1.3% and to 3.6% in 2012. Looking ahead to this week, there is a particularly heavy schedule of items likely to impact the price of gold and the broader financial markets.  The Federal Reserve will hold its Federal Open Market Committee (FOMC) mee...

The gold price recaptured the $1,600 per ounce level on Wednesday amid talk of further monetary easing in both the United States and Europe.  The spot price of  gold climbed as much as $23.34, or 1.5%, to $1,606.32 earlier this morning, fueled in part by weakness in the U.S. dollar.  The greenback fell 0.3% against a basket of foreign currencies, while the euro advanced 0.5% to 1.2134 against the dollar.  The SPDR Gold Trust (GLD), a proxy for the gold price and the world’s largest gold exchange-traded product, jumped $1.62 to $155.14 per share. Yesterday afternoon the gold price was buoyed by reports that the Federal Reserve is “moving closer” to implementing further monetary stimulus to support the struggling U.S. economy.  The Fed is more seriously considering launching a third round of quantitative easing (QE3) – whose absence at last month’s Fed meeting helped send the price of gold to near multi-month lows.  However, in recent weeks,...

The gold price continued to consolidate near the $1,575 per ounce level on Tuesday amid modest strength in the U.S. dollar. Gold prices ranged between $1,571 and $1,584 in overnight trading, an area they have now occupied for several weeks.  The SPDR Gold Trust (GLD), the world’s most liquid gold price proxy, inched higher by $0.05 to $153.08 per share this morning. As for the gold price, Macquarie analyst Hayden Atkins wrote in a note to clients that “Markets sold off really heavily yesterday, and gold held up pretty well against that. It is maybe the one thing that has really stayed solid against some pretty solid headwinds elsewhere…People are just keeping the bid where it is, still waiting on things like quantitative easing.” Looking ahead for the price of gold, sovereign debt-related news is likely to remain a critical catalyst for the yellow metal.  In the U.S., the economic calendar is relatively light this week but does include a few significant ite...

The gold price turned lower on Monday as a further escalation of European sovereign debt fears fueled widespread selling across financial markets.  The price of gold fell to as low as $1,562.08 per ounce earlier this morning, but pared its losses to trade down by $12.89, or 0.8%, at $1,571.59.  In doing so, the gold price considerably outperformed other commodities and U.S. dollar-denominated asset classes. Equity markets across Asia and Europe exhibited a sea of red as well on Monday as speculation grew that Spain may need a more comprehensive bailout after a second region, Murcia, revealed that it needs additional financial assistance.  This followed reports last week that another region, Valencia, was also in dire financial straits. “The fear now is that Valencia’s aid request is more than likely to open the floodgates for similar requests from the other 17 heavily indebted Spanish regions,” CMC Markets wrote in a note to clients.  “Already sp...

The gold price slipped $5.64, or 0.4%, to $1,576.46 per ounce on Wednesday as investors digested the second day of Congressional testimony by Fed Chairman Ben Bernanke.  The spot price of gold fell to $1,567.38 earlier this morning, but recouped the majority of its losses as the U.S. dollar pared its gains against a basket of foreign currencies.  Nonetheless, the gold price remains near the lower end of the trading range it has occupied since early May. George Gero, precious metals strategist at RBC Wealth Management, noted that he was not expecting Bernanke to discuss QE3 because of the nature of the Congressional hearings.  “I don’t think that this is the platform when he will usually say something that is going to be unusual or dynamic.  Basically he’s testifying, which means he’s answering questions.” Looking ahead, several strategists expect the price of gold to remain range-bound.  Analysts at Marex Spectron wrote in a report to clients...

The gold price turned lower on Tuesday as the U.S. dollar rallied following the release of Ben Bernanke’s semi-annual testimony to Congress.  The price of gold rose to an overnight high of $1,598.73 per ounce, but later surrendered its gains, falling as much as $11.02, or 0.7%, to $1,578.89 in morning trading.  The U.S. Dollar Index (DXY) climbed 0.3% to 83.48 after the markets interpreted the Fed Chairman’s remarks as less dovish than expected. In his first public remarks since last month’s FOMC meeting, Bernanke acknowledged that “economic activity appears to have decelerated somewhat” in recent months.  He also cited the European sovereign debt crisis and the “U.S. fiscal situation” as two primary risk factors for the U.S. economy. As for monetary policy, Bernanke only discussed the Fed’s decision last month to extend Operation Twist and reiterate his pledge to keep the Fed Funds rate near zero through late 2014.  There was no mention of a po...

“Gold bulls feel tortured after nine months of correction,” is how Bill Fleckenstein described the current mindset of many gold investors. In his most recent weekly column for MSN Money , Fleckenstein provided his view on the latest developments in the gold market and his outlook going forward. “Turning to the gold market, obviously it has been under pressure, too,” Fleckenstein noted. “I’m sure many folks were disappointed Thursday to see…combined with all the other stimulus we’ve seen, not only  not make gold rally but see it decline. Unfortunately, that is just where we are right now. The minute ‘good news’ for gold doesn’t work, it turns into bad news, because it didn’t cause the market to rally.” He went on to say that “One of the problems the gold market has had is that demand from India has been subdued. The finance minister there has been trying to clamp down on gold purchases, and of course India’s currency has been quite weak. That minister has now res...