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Jul 25, 2014

Gold up on Ukraine, short-covering; posts weekly loss

NEW YORK/LONDON, July 25 (Reuters) – Gold rose on Friday,
rebounding from the previous session’s drop to a one-month low,
as heightened tensions between Russia and the West over Ukraine
prompted speculators to buy back their bearish bets ahead of the
weekend.

For the week, however, bullion is still set for a
one-percent drop, its second consecutive decline, as encouraging
recent U.S. economic indicators lessened the metal’s safe-haven
appeal.

Jul 23, 2014

Gold slips as equity gains dent safe-haven appeal

NEW YORK/LONDON, July 23 (Reuters) – Gold fell for a
second day on Wednesday as gains in U.S. equities and dearth of
new developments from conflicts in Ukraine and the Middle East
prompted investors take profits.

Sluggish physical demand in Asia in the seasonally quiet
summer period is also weakening support for any price rally,
dealers said.

Jul 23, 2014

U.S. gold ETF delivers first physical bullion coins; holdings grow

NEW YORK, July 23 (Reuters) – Merk Gold Trust, a
bullion-backed exchange-traded fund which allows its shares to
be redeemed for physical gold, said on Wednesday it has made its
first delivery in dozens of U.S. gold coins to an investor.

The ETF, launched by Palo Alto, California-based Merk Funds
in May to offer a liquid trading product with the benefits of
physical gold bullion, has accumulated 40,000 ounces in two
months even in a bearish gold market.

Jul 21, 2014

Gold rises above $1,300 on heightened tensions, S&P drop

NEW YORK/LONDON, July 21 (Reuters) – Gold rose above $1,300
an ounce on Monday as U.S. equities slipped and political
tensions simmered after the shooting down of a passenger plane
in eastern Ukraine last week and incessant fighting in Gaza.

Bullion rebounded after last week’s two-percent drop, as
investors took profits after Thursday’s strong rally when a
Malaysian airliner over Ukraine was shot down and Israel
launched a massive ground offensive into Gaza against Hamas
militants.

Jul 18, 2014

Gold falls on profit-taking but geopolitical tensions eyed

NEW YORK/LONDON, July 18 (Reuters) – Gold dropped nearly 1
percent on profit-taking on Friday after rallying the previous
day on the shooting down of a passenger plane in eastern
Ukraine, but traders said interest in bullion will be quick to
rise again if geopolitical tensions heighten.

Gold, seen as a hedge against risk in times of uncertainty,
jumped 1.5 percent on Thursday as investors bought back their
bearish bets in the metal and sought shelter from further
turmoil in equities after the Malaysian airliner news.

Jul 16, 2014

U.S. gold dealer launches first digital currency backed by bullion

NEW YORK, July 16 (Reuters) – U.S. precious metals dealer
Anthem Vault Inc said on Wednesday it has launched the first
digital currency backed by physical gold, with an aim to
increase the use of bullion as an accepted form of electronic
money.

Las Vegas-based Anthem said it will launch 10 million
“INNCoins” backed by 100 grams (3.5 ounces) of gold, with all
coins expected to be in circulation by July 2015.

Jul 16, 2014

Gold rebounds on bargain hunting after two-day tumble

NEW YORK/LONDON, July 16 (Reuters) – Gold rebounded on
Wednesday after two consecutive days of sharp losses, but a
strong U.S. economic outlook and fears that the Federal Reserve
could raise U.S. interest rates limited gains for the safe
haven.
Traders said that bottom-picking after the metal’s biggest
two-day drop since October underpinned prices. Bullion was also
boosted by technical buying after it found support at its 50-day
moving average near $1,290 an ounce for a second straight day.
“We are seeing some bargain hunting after the losses of the
past two days,” MKS SA head of trading Afshin Nabavi said.
Gold’s rally faded after data showed U.S. manufacturing
output rose at its fastest pace in more than two years in the
second quarter, suggesting the economy was regaining enough
momentum to lift growth throughout the year.
Spot gold rose 0.2 percent to $1,296.94 an ounce by
2:16 p.m. EDT (1816 GMT), after losing 3.3 percent in the last
two sessions, its biggest two-day loss since Oct 1.
U.S. gold futures for August delivery settled up
$2.70 at $1,299.80 an ounce, with trading volume about 20
percent below its 30-day average, preliminary Reuters data
showed.
The metal broke below $1,300 for the first time since June
19 on Tuesday after a Fed report showed its balance sheet would
top out at $4.5 trillion when its bond-buying program ends in
October – a timeline consistent with what Fed policymakers had
said previously..
Gold’s gains also fizzled after Dallas Fed President Richard
Fisher said on Wednesday the central bank is “likely” to start
raising interest rates gradually early next year and should
begin shrinking its massive balance sheet in October to signal
its confidence in the recovery.
Market participants now digested news after the London Gold
Market Fixing Ltd said it is seeking a third party to take over
the administration of a century-old global price benchmark known
as the “fix,” possibly signalling a move to an electronic
platform.
Among other precious metals, platinum was up 0.2
percent at $1,478.50 an ounce, while palladium rose 1
percent to $871.83 an ounce and silver gained 0.1 percent
to $20.67 an ounce.

2:16 PM EDT LAST/ NET PCT LOW HIGH CURRENT
SETTLE CHNG CHNG VOL
US Gold AUG 1299.80 2.70 0.2 1293.50 1304.20 100,119
US Silver SEP 20.775 -0.114 -0.5 20.630 20.880 32,652
US Plat OCT 1485.70 0.70 0.0 1481.00 1492.10 6,235
US Pall SEP 876.75 8.20 0.9 867.00 877.20 3,386
Gold 1296.94 2.84 0.2 1293.60 1303.90
Silver 20.670 0.020 0.1 20.600 20.810
Platinum 1478.50 2.25 0.2 1479.30 1486.50
Palladium 871.83 8.83 1.0 867.50 875.10
TOTAL MARKET VOLUME 30-D ATM VOLATILITY
CURRENT 30D AVG 250D AVG CURRENT CHG
US Gold 120,930 150,992 166,329 13.86 0.02
US Silver 34,220 65,786 54,770 18.99 -0.23
US Platinum 6,420 15,019 12,268 16.75 -0.44
US Palladium 3,722 4,461 5,842 21.6 0.58

Jul 15, 2014

Gold down 1 pct, below $1,300 on Fed report, dollar rise

NEW YORK/LONDON, July 15 (Reuters) – Gold prices fell 1
percent on Tuesday, dropping below $1,300 an ounce as bullion
investors focused on a U.S. Federal Reserve monetary policy
report showing the central bank is set to end its bond-buying
stimulus in October.

Gold posted its biggest two-day losses since Oct. 1, having
lost nearly 3.5 percent between Monday and Tuesday.

Jul 15, 2014

Gold falls below $1,300/oz on Fed report, dollar rise

NEW YORK/LONDON, July 15 (Reuters) – Gold fell below $1,300
an ounce to a four-week low on Tuesday, as the dollar rose and
bullion investors focused on a U.S. Federal Reserve monetary
policy report which showed the central bank is set to end its
bond-buying stimulus by October.

The metal initially rose after Fed Chair Janet Yellen told a
Senate committee that the U.S. economic recovery remains
incomplete, with a still-ailing job market and stagnant wages
justifying loose monetary policy for the foreseeable future.

Jul 3, 2014

Gold slips after upbeat U.S. nonfarm payrolls

NEW YORK/LONDON, July 3 (Reuters) – Gold slipped on Thursday
after U.S. nonfarm payrolls rose more than expected in June,
fueling expectations U.S. interest rates could rise earlier than
expected.
U.S. employment growth jumped in June and the jobless rate
closed in on a six-year low, compelling evidence the economy was
growing briskly heading into the second half of the year.
Nonfarm payrolls increased by 288,000 jobs and the
unemployment rate declined to 6.1 percent, the Labor Department
said on Thursday.
“It is interesting that we are well into the territory now
that one would expect a normalization of monetary policy,” said
Mitsubishi Corp analyst Jonathan Butler. “There is still
downside risk there on gold,” he added.
Fed policymakers have in the past promised to keep rates
near zero until U.S. unemployment falls below 5.5 percent, as
long as inflation and financial stability risks are contained.
Spot gold was down 0.6 percent to $1,319.15 an ounce
by 2:04 PM EDT (1404 GMT), having earlier dropped as much as 1.3
percent to a one-week low of $1,309.64.
U.S. COMEX gold futures for August delivery settled
down $10.30 at $1,320.60 an ounce, with trading volume about 30
percent above its 30-day average, preliminary Reuters data
showed.
Some analysts argue that gold can rise in tandem with higher
interest rates.
“If interest rates start rising, it’s because the Fed is
worried about inflation, and that inflation factor can drive
gold prices up even as interest rates rise,” said Jeffrey
Christian, managing director at CPM Group.
A low interest-rate environment has been key to higher gold
prices since the 2008 credit crisis, however, as investors were
more willing to put their money in noninterest-bearing assets.
Traders said gold could also receive a boost in the longer
run after European Central Bank President Mario Draghi said a
raft of policy measures introduced last month will help lift
inflation and support bank lending.
Among other metals, palladium was up 0.4 percent at
$855.60 an ounce.
Palladium, mostly employed in gasoline autocatalysts,
predominantly used in the United States and China, rose to its
highest level since February 2001 at $864.45 an ounce, as good
U.S. data lifted prospects for stronger auto demand.
Platinum was down 0.5 percent at $1,494.25 an ounce,
hovering near a 10-month high of $1,517.50 reached on Wednesday,
while silver ended unchanged at $21.09 an ounce.

2:04 PM EDT LAST/ NET PCT LOW HIGH CURRENT
SETTLE CHNG CHNG VOL
US Gold AUG 1320.60 -10.30 -0.8 1309.40 1329.00 139,120
US Silver SEP 21.137 -0.165 -0.8 20.820 21.230 38,995
US Plat OCT 1507.70 -3.80 -0.3 1494.50 1511.30 10,448
US Pall SEP 861.90 4.50 0.5 849.10 867.45 5,540