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Glittering Gold

 The international as well as our domestic market is going pro-gold, even as the Dollar is weakening, retail is on the boom, housing sector still to move out of crossroads and turmoil in Greece is at status quo, these all are the indicators of golden times for the gold. In the start of the week before the FOMC meeting gold slided to 1,141.60 dollar per ounce and Growth in Comex to over 2.31% has clocked 1,184.60 dollar per ounce. Once again the gold in the market is tap dancing its way back and there are strong reasons to cement the fact that as the prices had come down so the demand of gold was ever rising specially in the Asian markets and in comparison to the 6 peer currencies in the world dollar is showing signs of fatigue and weakening after being at the helm for the last 12 years and the yield of the US treasury has slumped. 
As far as the silver is concerned it is better positioned than the gold as in this week there is increase by 8% that is 16,883 dollar per ounce and the trading in the COMEX this Friday has closed on new highs. Even the decisions of the FOMC and the Federal have come as a big relief timely as the Fed reserve has postponed the its decisions to this June at least and a cut in growth in proportion to the economy has only send positive signals and some fresh breath in the gold market. Although the word patience has been removed from the statement of FOMC and even the chair person of the Fed Reserve has made it quite clear that it is not in a hurry to the committee is in no hurry what so ever to increase the rates, and this has come as a big relief to the Bullion market because in the case of the increase in the interest rates the dollar will strengthen and will trigger some slackening in the bullion markets.
 In the next week the repots of the US economy will be out and will be the decisive for the pace of the gold and the investors are going to invest the profits earned from dollars in the gold. It is quite predictable that the gold is headed to touch the psychological mark of 1,200 dollars per ounce. In the next week the gold will touch 1,190 dollar per ounce because of the obvious support levels of 1,150 and it is high time for the long overdue correction which the US will have to reluctantly bear with a pinch of salt. Anyways the gold is the real form of time tested form of money because gold is the only tangible form of money which has survived much more than 10000 years and of course 5000 years of the monetary history. The paper money eventually fail as the paper money always returns to the square one that is the money returns to its intrinsic value which is zero, where as the gold remains GOLD.