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Gold & Silver Market Analysis for Wednesday 27th October
Kinesis Gold Price Analysis - This week, the gold price is struggling to hold above $1,800 per ounce. The new trading session started by losing a few dollars, trading at around $1,790 while the bullion price per gram fluctuated between $57.5 and $57.8.
Kinesis Silver Price Analysis - Yesterday, the silver price retraced, touching the psychological support of $24 before rebounding to $24.2. The technical picture remains positive as the current decline appears to be a temporary correction after a solid rebound. Read More
Gold price in CAD sees double-digit drop as Bank of Canada ends QE, holds rate steady
The Bank of Canada (BoC) ended its quantitative easing while holding its key interest rate steady on Wednesday. Gold priced in Canadian dollars reacted with a double-digit drop, last trading down $20 on the day.
The BoC held its overnight rate at 0.25% while stating that it is ending quantitative easing. The Bank added that it is entering the reinvestment phase. Previously, the QE program was set at $2 billion per week.
“The Bank is ending quantitative easing (QE) and moving into the reinvestment phase, during which it will purchase Government of Canada bonds solely to replace maturing bonds,” the BoC said in a statement. Read More
Gold, silver gain as U.S. dollar, bond yields decline
Gold and silver prices are higher and near their daily highs at midday, Wednesday, supported by a weaker U.S. dollar index and falling U.S. Treasury yields on this day. Trading was choppy and on both sides of unchanged today, as traders are awaiting new fundamental developments to move the precious metals markets. December gold futures were last up $4.70 at $1,798.10. December Comex silver was last up $0.112 at $24.20 an ounce. Read More
Radisson Mining CEO gives outlook on gold, miners, and company performance - Rahul Paul
Rahul Paul, CEO of Radisson Mining Resources, discusses with David Lin, anchor for Kitco News, the outlook for the gold sector.
According to Paul, the precious metal is well-positioned for more upside. Read More
Central banks at a crossroads and any move to deal with rising inflation will only be cosmetic - Degussa
Central banks are at a perilous crossroads as they must deal with rising inflation pressures and make sure that the global economy remains strong.
In a recent report, Thorsten Polleit, chief economist at Degussa, said that it's only a matter of time before investors turn back to gold as central banks try to walk a precarious line between economic growth and inflation.
"The exchange value of gold and silver cannot be permanently manipulated downwards by central banks, especially not when times get really hard. What is more, physical gold and silver do not – in contrast to bank deposits – carry a counterparty or default risk. Last but not least, physical gold and silver make the investor independent from the financial system, its trading hours, settlement and delivery procedures, and costs," he said in the report. Read More
Agnico Eagle reports record quarterly gold production of 542 koz in Q3 2021
Agnico Eagle Mines (NYSE: AEM) (TSX: AEM) today reported a record quarterly gold production of 541,663 ounces (including Hope Bay) in Q3 2021, an increase of 10% compared to Q3 2020 (492,693 ounces).
The company said that higher gold production in Q3 2021, when compared to the prior-year period, was primarily due to strong performance at the company's mines, including higher gold grades and tonnage at the Meadowbank Complex, higher tonnage at the Meliadine, Canadian Malartic, and Kittila mines, and higher gold grades at the LaRonde Complex. Read More
$11 million silver heist: Canadian police looking for suspects who stole pure silver bars
Toronto police are asking the public's help in their hunt for suspects involved in the theft of $11 million worth of pure silver bars.
Bars of the precious metal were stolen from a shipping container in Montreal, Quebec, on January 2020. Suspects took off with USD$11 million worth of pure silver in bullion form.
Since then, police have partially recovered some of the physical metal in Toronto, British Columbia, and Massachusetts, USA. Read More
'Aggressively' hold gold & real estate as Fed's QE is a 'failed experiment,' says Danielle DiMartino Booth
The Federal Reserve has kept its monetary policy "inappropriately" too easy for too long, triggering inflation. And now the central bank could be forced to tighten aggressively, said Danielle DiMartino Booth, CEO of Quill Intelligence.
"Quantitative easing is a failed experiment," Booth told Michelle Makori, editor-in-chief of Kitco News. "We have much more going on here than supply chain disruptions. And there are much more problematic forms of inflation that I don't think [Fed Chair] Jerome Powell is prepared to acknowledge. But it is the sticky type of inflation that the Fed has to be most concerned with. And that is beginning to bleed through into housing and rental inflation."
With so much liquidity added to the monetary system, DiMartino Booth pointed out that the Fed is stuck between a rock and a hard place. Read More
Economic recovery challenges central banks
Gold had modest gains today, partially recovering yesterday’s strong selling pressure resulting in just over a $12 decline. As of 5 PM EDT gold futures basis, the most active December 2021 contract is up $4.90 (+0.27%) and is currently fixed at $1798.30. The tailwinds moving gold higher today were a combination of lower yields in United States 30-year bonds and a fractional decline in the dollar index. Read More
Weak investment demand for gold ETFs dominates the market in third-quarter - World Gold Council
Disappointing investment demand continues to dominate the gold market as the World Gold Council reported a 7% decline in demand for the precious metal in the third quarter.
In its latest Quarterly Demands Trends report, published Tuesday, the WGC said that total gold demand between July and September dropped to 831 tonnes.
"This drop was almost exclusively driven by ETFs – which swung from very large inflows in Q3 2020 to modest outflows this year – overshadowing strength in other sectors of demand during the quarter. Jewellery, technology, and bar and coin were significantly higher than in 2020," the analysts said in the report. Read More
The gold price has risen heading into the European open
Gold has popped back above the $1800/oz level rising 0.32% overnight. Silver on the other hand has dropped -0.10% to trade at $24/oz. In the rest of the commodities complex, copper is 1.14% in the black, and spot WTI has fallen half a percent. Read More
Disclaimer: These articles are provided for informational purposes only. They are not offered or intended to be used as legal, tax, investment, financial, or any other advice.
