Gold, Silver gain on fresh Demand

Gold surged to Rs 27,300 per ten grams, silver appreciated to Rs 40,730 per kg

Both the precious metals, gold and silver gained in the national capital on Friday on fresh buying by stockists amid a firm global trend.

While gold surged by Rs 275 to Rs 27,300 per ten grams, silver gained Rs 295 to Rs 40,730 per kg on increased offtake by jewellers and industrial units.

Sentiments bolstered after gold surged to a three-week high in global markets, as Federal Reserve Chairman’s comments that stimulus may be maintained spurred demand for the metal.

Gold in London, which normally sets the price trend on the domestic front, appreciated 0.3 per cent to USD 1,287.69 an ounce.

On the domestic front, gold of 99.9 and 99.5 per cent purity zoomed up by Rs 275 each to Rs 27,300 and Rs 27,100 per ten grams, respectively.

 http://www.thehindu.com/business/markets/gold-silver-gain-on-fresh-demand/article4931651.ece


MAKE SURE YOU GET PHYSICAL SILVER IN YOUR OWN POSSESSION. Don't Buy SLV, or Futures or Pooled Accounts or any other BS paper silver product .Remember anything on paper is worth the paper it is written on. Go Long Stay long the bull market have even started yet

Gold and Silver Miners Rolling Over Again

 The bullish case for silver is easy enough to make. It also makes sense that if the price per ounce eventually takes off, then the miners would do well.
Nevertheless, the problems that silver miners face are multifaceted and will be discussed further in the following sections.

Inflation

The next trigger that catapults silver prices higher will likely be associated with a notable rise in inflation that may already be in process. The Producer Price Index (PPI) was up last month significantly for the first time in a while and crude oil is again testing the psychological $100 level.
Still, inflation is a double edged sword for the miners since rising energy costs will be a huge drag on net earnings for these companies. This is especially true for the penny stock miners who are still in the exploration stage and will require revisionary financing going forward.

Tough Times for Miners

The entire mining sector has been miserable and positive sentiment is getting pretty close to zero. This might indicate a bottom is near, but the damage to the sector has been done.
The industry also suffers from a shortage of experienced geologists, and financing for these mining projects is hard to come by as a rule.
Furthermore, most silver comes from byproduct mining because primary mines simply could not stay in business for the lean decades leading up to the most recent bull market in silver.

MAKE SURE YOU GET PHYSICAL SILVER IN YOUR OWN POSSESSION. Don't Buy SLV, or Futures or Pooled Accounts or any other BS paper silver product .Remember anything on paper is worth the paper it is written on. Go Long Stay long the bull market have even started yet

Gold Backwardation Seen by SocGen Prompting ‘Corrective Rally’

Gold’s biggest backwardation since 1999 prompted a “corrective rally” and negative investor sentiment means the outlook is still bearish, according to Societe Generale SA.

Physical gold demand is strong and “nearby tightness” will persist for the “foreseeable future,” Robin Bhar, a London-based metals analyst, said in a report e-mailed today. Gold will average $1,150 an ounce in 2014, according to the bank, which predicted the rout in April when prices entered a bear market, having fallen 20 percent from the high last year.
http://www.bloomberg.com/news/2013-07-17/gold-backwardation-seen-by-socgen-prompting-corrective-rally-.html

MAKE SURE YOU GET PHYSICAL SILVER IN YOUR OWN POSSESSION. Don't Buy SLV, or Futures or Pooled Accounts or any other BS paper silver product .Remember anything on paper is worth the paper it is written on. Go Long Stay long the bull market have even started yet

How to beat a GOLD SHORTAGE

Gold is sold out! Or so you might think if you miss the true nature of coin supply...

By Miguel Perez-Santalla


Over the last few years, during the great investment demand for gold and silver, we have seen sporadic shortages in bullion coins.
Many people have written about these shortages as a harbinger of things to come in precious metals more widely. One of the fads is to decry supply issues in silver and now recently gold. However, the truth of the matter is less dramatic, if not quite so simple.
In most cases, supply issues with silver or gold coins are caused by abnormal or let's say surprising increases in demand from bullion coin buyers. Simply put, coins don't come out of thin air. They need to be manufactured. This all takes time and money. No one wants to tie up their money in a product that is not going to sell. That exposes gold and silver buyers to "just in time" inventory gaps if it's coins they want to buy.

SILVER & GOLD SHORTAGE

Imagine you are selling a low-cost product with a high margin. It is much more likely that you will have enough inventories for almost all eventualities. Look at a typical retail product – how about lip balm? I don't really know the costs but I can guess. Some of the more premium brands sell individually for $10 each and more, but many quality brands sell for $1.00 or so.

http://www.resourceinvestor.com/2013/07/15/how-to-beat-a-gold-shortage?t=precious-metals

MAKE SURE YOU GET PHYSICAL SILVER IN YOUR OWN POSSESSION. Don't Buy SLV, or Futures or Pooled Accounts or any other BS paper silver product .Remember anything on paper is worth the paper it is written on. Go Long Stay long the bull market have even started yet

Gold Coins Shortage: Does It Mean Tight Supply?

Friday, 7/12/2013 18:19

Yes, if it's gold coins you're after. But not if it's gold bullion in other forms...

 

OVER the last few years, during the great investment demand for precious metals, we have seen sporadic shortages in silver and gold coins, writes Miguel Perez-Santalla at BullionVault.

 

Many people have written about these shortages as a harbinger of things to come in precious metals more widely. One of the fads is to decry supply issues in silver and now recently gold.

However, the truth of the matter is less dramatic, if not quite so simple.

 

In most cases, supply issues with silver or gold coins are caused by abnormal or let's say surprising increases in demand from bullion coin buyers. Simply put, coins don't come out of thin air. They need to be manufactured. This all takes time and money. No one wants to tie up their money in a product that is not going to sell. That exposes gold and silver buyers to "just in time" inventory gaps if it's coins they want to buy.

 

Imagine you are selling a low-cost product with a high margin. It is much more likely that you will have enough inventories for almost all eventualities. Look at a typical retail product – how about lip balm? I don't really know the costs but I can guess. Some of the more premium brands sell individually for $10 each and more, but many quality brands sell for $1.00 or so.

 

I have never seen a retailer that sells this product run out. Though it is possible, most likely that chance is very remote because I believe their profit margin is probably around 100% or more. This typically is called the Keystone markup. My guess is that the retailer pays lower than $.50 for each one of these $1.00 lip balms. So their profit of 50 cents or more covers any carrying charges that may be represented from holding the inventory.

Read more : http://goldnews.bullionvault.com/gold-coins-shortage-071220132

MAKE SURE YOU GET PHYSICAL SILVER IN YOUR OWN POSSESSION. Don't Buy SLV, or Futures or Pooled Accounts or any other BS paper silver product .Remember anything on paper is worth the paper it is written on. Go Long Stay long the bull market have even started yet