gold price held firm near $1,620 per ounce Friday morning despite encouraging economic news in the U.S. and Europe

The gold price held firm near $1,620 per ounce Friday morning despite encouraging economic news in the U.S. and Europe. While the price of gold stabilized, silver rallied $0.31, or 1.0%, to $30.27 per ounce. U.S. equity markets looked to open substantially higher, with S&P 500 futures up 15.00 points, or 1.3%, at 1,164.00.

Weekly jobless claims in the U.S. fell 37,000 to a seasonally-adjusted 391,000, the lowest level since April 2 and below the consensus estimate among economists. GDP was revised up from 1.0% to 1.3%, above the 1.2% expected by economists. In Germany, the lower house of parliament voted to expand the size of the European Financial Stability Fund (EFSF), and the upper house is expected to pass the measure on Friday.

Commenting on Thursday’s gold price sell-off, Standard Bank Plc analyst Marc Ground wrote in a note to clients that “Momentum is lacking as investors adopt a seemingly cautious attitude to entering the gold market after last week’s abrupt price fall.”

Part of yesterday’s move lower in the gold price was fueled by a rare bit of encouraging news in the euro zone. The European Parliament voted yesterday to more automatically enforce sanctions against euro zone nations that do not adhere to deficit and debt limits. The stricter regulations will accompany the European policymakers’ more pressing goal of preventing concerns of a Greek default from further damaging the financial condition of Italy, Portugal, and Spain.

Indian buy physical Gold as Diwali begins

India is one of the major Gold consumer in the world , especially during the Diwali celebrations where gold is offered as gift . As the major religious festival season of Diwali begins in India, the buying of gold and silver as gifts is a common practice.It is potentially a boom time for businesses across the board, with presents such as necklaces and bracelets traditionally bought and given to friends and family.But the recent dramatic increases in price of both metals is making it difficult for many Indians to be as generous as they might want to be. After hitting a high of $1,900 an ounce in early September, the price of gold has fallen to just above $1,500.European policymakers are struggling to resolve the region's debt crisis, and such fears would normally drive the price of gold higher.But with the commodity already at such lofty heights, many investors now feel the only really safe bet is cash itself, and hence the selling.

Gold price dip below $1,600 per ounce on Thursday morning sell-off was fueled by strength in the U.S. Dollar Index

The gold price dip below $1,600 per ounce on Thursday morning sell-off was fueled by strength in the U.S. Dollar Index (DXY), which advanced 0.5% to 78.42.

Yesterday’s gold price rally coincided with widespread gains in many dollar-denominated asset classes, fueled by a 0.4% rise in the euro currency to 1.3585 against the greenback. Strength in the euro came amid rising hopes that euro zone officials were considering a more robust financial plan to stem the tide of the sovereign debt crisis. One measure being discussed would be to leverage the €440 billion European Financial Stability Fund (EFSF) to allow for additional funds to be borrowed – likely from the European Central Bank (ECB) – without increasing the actual size of the EFSF.

While the idea of leveraging the EFSF helped propel the markets higher on Tuesday, such a plan carries with it considerable risks. Most importantly, it would put German and French taxpayers on the hook for further losses should the financial condition of Greece continue to deteriorate. Additionally, it would create the potential for further moral hazard risks by other members of the PIIGS, who may not feel as much pressure to get their own financial houses in order.

Regardless of the market’s short-term reaction to the ongoing European developments, Greek sovereign debt continues to signal that a default is looming. As John Hussman, Ph.D. – founder of the Hussman Funds – noted in his weekly market comment, “The yield on 1-year Greek government bonds closed above 135%. As I’ve noted in recent weeks, the bond markets continue to reflect expectations of certain default on Greek debt. All they are working out now is the recovery rate.”

The impact of a Greek default on the gold price would be quite uncertain in the short-term – chiefly due to the potential for broad-based liquidation in financial markets. If the financial position of the euro zone were to improve following Greece’s exit, the price of gold could come under additional pressure. However, a Greek default could instead lead to further destabilizations in the European banking system, which would be bullish for the gold price in the months ahead as policy makers implemented pro-inflation policies to offset the deflationary headwinds.

China Unveils First Gold ATM

Physical gold demand in China is booming to the point that the government have decided to install gold ATM machine to sell gold coins and bars to the public , China is the second largest consumer of Gold , and the Chinese are known for being gold bugs who prefer to keeping their savings in the form of physical gold bullion...

Gold price moved sharply higher

Gold price moved sharply higher Wednesday morning, gaining $31.00 to $1,658 per ounce. After sliding 6.5% over the past two trading sessions, the price of gold moved higher on bargain hunting among investors and traders. Silver spiked higher by a huge $1.82, or 5.9%, to $32.56 per ounce. On a closing basis, gold’s sister precious metal declined 24.4% over the last six trading days. Optimism that European leaders are beginning get serious about stemming the waning confidence in the continent’s banking system helped buoy global stock and commodity markets.

Marc Faber, publisher of The Gloom Boom & Doom Report, provided his latest thoughts on the gold price in an interview with CNBC on Monday. Faber, who has been correctly bullish on gold for most of the past decade, noted that the price of gold has become “very oversold” in the near-term. “We overshot on the upside when we went over $1,900,” he asserted, and “We’re now close to bottoming at $1,500.”

Faber subsequently cautioned that if the $1,500 level does not hold, the gold price could fall to between $1,100 and $1,200 per ounce before finding a bottom. However, despite the potential for a more severe gold price correction, Faber contended that “I don’t think the long-term trend is broken.” Although he did not provide a specific gold price target at this time, Faber predicted earlier this year that the price of gold is likely to eventually surpass its inflation-adjusted all-time high of approximately $2,300 per ounce.

David Rosenberg of Gluskin Sheff – another long-time gold bull – also reiterated his positive long-term outlook on the gold price yesterday. In a note to clients, Rosenberg wrote that “The fundamentals for gold, in terms of being a hedge against the growing lack of integrity in the global monetary system have not changed one iota despite the severe falloff in recent weeks.”

Physical demand out of China boosting the Gold Market

When you are buying Physical Gold you do not care what the margin is says futures trader Lou Grasso, Millennium , a lot of the demand these days is physical demand out of China he added I spoke on your show in the middle of last week and i was an advocate in raising the margins. do i think that's really going to stop people from coming in? no. because a lot of the demand for gold these days is etf demand and physical demand. physical demand out of china and Asia is really driving the market these days. obviously if you're buying physical you don't care what the margin is."Lou Grasso told CNBC

Gold is a victim of its own success as liquidity trumps

Gold price continued to fall Tuesday, plunging $34.25 to $1,625 per ounce. Another hike in margins by the CME Group helped greased the skids of the current correction in the gold price. Today’s decline comes on the back of the price of gold posting its worst week since 1983 as broad-based liquidation engulfed the precious metals space. The spot price of gold tumbled $96.48 to $1,644.27 on Friday, bringing its weekly loss to 9.2%. COMEX gold futures slid $101.90, or 5.9%, to $1,639.80 per ounce on Friday, marking the third largest single-day nominal decline ever. With today’s drop, the gold price is now 15.6% below its $1,922.20 all-time high, reached less than three weeks ago on September 6.

In light of yesterday sell-off in gold, coupled with last week’s substantial decline, UBS analyst Edel Tully explained her reasoning for the yellow metal’s weakness in a note to clients.

“Gold is one of the few assets that remains in positive territory this year, in a sense it is one of the last assets standing, and because of this as investors head for cash they sell the assets that have performed,” Tully wrote.

“Essentially gold is a victim of its own success as liquidity trumps.”

Nic Brown, a commodities strategist at Natixis, provided his thoughts as well this morning on the move lower in the gold price. ”The rise in volatility taking place in the gold price was clearly an indication that gold was no longer a low-risk asset,” he wrote. “So there are a few signs there that would have given you pause for thought, but inevitably when the move happens, everyone is taken a little bit by surprise.”

Brown went on to say that “I would suggest that part of what is happening is a collective move away from commodities by investors. The fact that there is carnage going on across the commodities spectrum indicates there are a fair few investors who are getting cold feet at this stage and that has hit some precious metals disproportionately.”

Why are gold and silver prices falling?

Silver and Gold price slashed in trading following stock fall The powers that be seem to be conspiring to drive down the price of gold and silver. It starts with margin raises, and continues with major banks selling short to flush out the weaker players. Vomit blood and guts are all thats left of this train wreck. the plunge in gold and silver prices has taken place because of massive unwinding of positions across all asset classes. It is unlikely that precious metals will witness another up move in the near future.

Everybody is hypnotized and is dreaming the same dream and that is " Paper is Money" , a dream that was imposed on people with the Media and the education system , this does not make it money , , only Gold and Silver are Money , paper is a Currency that was created the first time to represent a deposit of Gold , if I was a central bank I won't accept any payment in paper , someday the people will wake up from the dream and realize that paper is just that paper and that GOD created Gold and Silver for the purpose to be money and a mean of exchange , the fact that 9 billion people are all dreaming the same dream at the same time does not make it real ....and that's my take about this , I tell you what I do , I go to my coin shop and I load in gold and silver as much as I can afford and I thank uncle Ben Bernanke for the unusual discount ...that's all folks

Malaysia Retail Gold Price Drop To RM208

916 gold drop to RM197/gm after keep in all time high price at RM205 for almost a month.

David Morgan Gold & Silver Panic Report

Silver Guru David Morgan joins Kerry Lutz to discuss the recent crash in gold and silver market silver went down almost 25 percent in two days Gold also lost almost $150 in a week and is down $250 from its all time high of a couple of weeks ago , we are in an extremely over sold market says David Morgan , but these are sell off mostly due to the fact that these are highly leveraged markets , the moves in these markets are based on the paper market they are based on the futures and options markets and ETFs they are not really reflective on the fundamentals of the physical gold and silver markets

An Incredible Buying Opportunity in Gold Market

Kirsty Hogg's Precious Metals Emergency Update 9-23-11 : there is only one buzz word and that is Buy Buy and Buy , the long term projection is very bullish many analysts believe that gold prices will start to rebound starting next week , this is an incredible buying opportunity or an entry point for people who want to enter the gold market , we have already hit the bottom at this point according to Bob Chapman so buy gold and silver with both hands and as much as you can , in few weeks from now you will be glad you did ....

Online Gold Trading - Gold Rush Trading System

The NMi Gold Rush trading system provides you with a clear, simple and easy-to-follow blueprint for success in the gold commodity market. It’s an electronically delivered home-study package complete with online video tutorials and personal mentoring from the creator of the system. Step-by-step you will learn the easiest imaginable way to earn consistent compounded returns on your money by trading the gold commodity market with a leveraged brokerage account.

This is the exact system we use to make a consistent average of 3% plus cashflow return on our investment each and every month. The system is so simple you will be able to understand and apply this system to your money in under 2 minutes per day.

Initially, it will take a beginner around an hour to read and implement the Gold Rush system, and 5 minutes or so per day to maintain while you gain familiarity. You can literally be up and running in no time!

Gold prices have now fallen in excess of $100 over the past 48 hours

The gold price plunged again Friday closing, sinking $56.70 to $1,684 per ounce. Gold prices have now fallen in excess of $100 over the past 48 hours. Heavy liquidation in COMEX gold futures has led to the fierce decline in the price of gold. Broad-based selling on Wall Street amid disappointing Chinese economic data, fears over a double-dip recession, and continued worries over the European sovereign debt crisis have weighed heavily on financial markets.

The price of gold came under significant pressure yesterday as the U.S. dollar rallied to a seven-month high against a basket of foreign currencies. The spot gold price fell to its lowest level since mid-August. The SPDR Gold Trust (GLD), the world’s most liquid gold price proxy, tumbled to $164.60 Friday morning – leaving the world’s second largest ETF lower by 6.4% this week.

Legendary investor Jim Rogers echoed this positive sentiment on the dollar in a CNBC interview on Thursday. “I own the dollar. As we talked last time, I think the dollar is going to go higher…It’s going up against everything right now. There are various reasons for that, one of which is everybody is panicked and for some reason they are rushing into the U.S. dollar. The U.S. dollar is not a safe haven if you ask me but I do own it.”

Rogers – known for running the Quantum Fund with George Soros and for his positive stance on commodities over the past decade – reiterated that his bullish bet on the greenback is only for the short-term. Over the longer-term he sees it going considerably lower as the U.S. government remains committed to debasing its currency to stimulate economic growth. Rogers has also been a long-time gold bull and recently predicted that the gold price will soon surpass its $2,300 inflation-adjusted all-time high.

Although Rogers did not specifically discuss the price of gold in yesterday’s interview, his outlook for the global financial system and economy augurs well for higher gold prices over the longer-term. “The major problems are coming from the West, from Europe and the U.S. We’re much worse off than we were in 2008 because the debt has gone through the roof since 2008. At least in 2008 there was a possibility that governments could bail us out. Right now of course the governments have gotten deep into debt themselves.”

Huge Gold sell off in Gold Market , buy buy buy

David Morgan : the Gold and Silver communities on the physical side are not afraid of this they are stepping up in the plate and are buying more physical metals , they are buyers buyers and more buyers says David Morgan , although it may take up to three month according to him for gold to repair this loss and go back to the 1900 level

Gold price and other dollar-denominated asset classes posted steep losses

The gold price tumbled $45.91, or 2.6%, to $1,736.44 Friday morning amid significant weakness in financial markets across the globe. Silver plunged alongside the price of gold, by $2.61, or 6.6%, to $37.01 per ounce. U.S. markets were set to open with large losses, as S&P 500 futures dropped 30.00 points to 1,125.75. In addition to disappointment stemming from yesterday’s Fed meeting, a weaker than expected report on the Chinese economy helped fuel the selling. HSBC’s preliminary China Manufacturing Purchasing Managers’ Index, or “flash” PMI, slid to a two-month low of 49.2 in September, below the 50 level separating expansion from contraction.

The gold price and other dollar-denominated asset classes posted steep losses after the Ben Bernanke-led Fed chose to extend the average maturity of its holdings of U.S. Treasuries, also known as Operation Twist. Under the terms of the plan, by June 2012 the Fed will purchase $400 billion in Treasuries with remaining maturities of 6-30 years and will sell an equal amount of Treasuries with remaining maturities of no more than 3 years. The primary goal of Operation Twist is to further reduce longer-term interest rates in the hopes of more effectively stimulating the economy – particularly the housing market.

Other noteworthy items from the Fed announcement included the addition of the word “significant” to “downside risks to the economic outlook.” In addition, the Fed chose not to lower interest on excess bank reserves – another easing measure that many economists expected Bernanke to consider. The central bank also chose to begin reinvesting principal payments from its holdings of agency debt and agency mortgage-backed securities in agency mortgage-backed securities in order to “help support conditions in mortgage markets.” In the same fashion as the August FOMC, the Fed’s easing measures were met with three dissenting votes – from Presidents Fisher, Plosser, and Kocherlakota –” who did not support additional policy accommodation at this time.”

US Dollar Stronger Will Push Malaysia Gold Price Higher

Due to US Dollar is getting stronger again Malaysia Ringgit, Gold price in USD is drop lower but in RM gold price is move higher so when Malaysia start print RM20 paper money, gold price in RM will fly to new high.

Gold turned lower and the U.S. dollar rallied after the Federal Reserve announced plans

Gold turned lower and the U.S. dollar rallied after the Federal Reserve announced plans to extend the average maturity of its holdings of U.S. Treasuries, also known as Operation Twist. The U.S. Dollar Index, a trade-weighted measure of the greenback versus several of the world’s other leading currencies, climbed from negative territory on the day near 76.80 to as high as 77.33. The euro gave up its modest gains against the dollar as it slid 0.2% to 1.3673 this afternoon.

The Federal Reserve announced in its Federal Open Market Committee (FOMC) statement that it will extend the average maturity of its holdings of U.S. Treasuries to provide additional monetary policy accommodation. In doing so, the Fed is essentially repeating “Operation Twist,” the 1960s policy in which the U.S. central bank purchased longer-term Treasuries and sold an equal amount of shorter-term Treasuries in the hopes of driving long-term interest rates lower.

Goldman Sachs chief U.S. economist Jan Hatzius discussed his expectations for the Fed meeting in a note to clients on Tuesday. ”Although not a done deal, we see a high probability that the FOMC will announce further easing steps at the conclusion of this week’s meeting,” Hatzius wrote. He went on to say that some form of Operation Twist “looks very likely,” although the exact structure of it is uncertain.

“We see low odds of a change in the Fed’s communication of its policy objectives…There also appears to be little appetite on the committee for an outright expansion of the Fed’s balance sheet,” Hatzius added. Such an expansion would likely come in the form of a third round of quantitative easing (QE3), which “does not look like a realistic option for the upcoming FOMC meeting.” Hatzius later noted that “the Fed may ultimately decide to move in this direction, but we see little chance that this will happen on Wednesday.”

Although Hatzius did not discuss the implications of the Fed meeting for the gold price, considerable uncertainty remains for the yellow metal, at least in the short term. While Bernanke and his fellow central bankers have committed to a near-zero Fed funds rate through mid-2013, the likelihood of a third round of money printing in the near future remains somewhat low.

Gold prices will go higher regardless of the FED announcement

The case for gold remains bullish says Tim Harvey, Senior VP at ETF Securities, the news from Europe especially Greece and Italy are very bullish and investors were very bullish at the LBMA conference this week and that prices will move higher no matter what the Federal Reserve meeting outcome ....this retreat of Gold price is mainly due to the strength in the US Dollar ....this is a golden opportunity to load on Gold and silver before the prices shoot up again to new highs

Bill Still : There is No Gold at Fort Knox

Author and filmmakerBill Still, director of The Money Masters & The Secret of Oz, is with Max Keiser and Stacy Herbert on the Keiser Report ,he speaks about the Fort Knox gold , He confirmed that there is no gold left at Fort Knox , Bill Still is famous for being against a gold standard economy ,very strange indeed coming from a knowledgeable and wise man that he is . I do not agree with his arguments but I listen to his ideas with an open mind .  Bill Still 's latest book is No More National Debt. In it, he continues his investigation into the fraudulent debt-based monetary system that is has been systematically destroying the United States. No More National Debt sounds the battle cry for a new human rights movement for the 21st century.

Gold is a good safe haven

Gold extended its gains Wednesday morning, as gold price surged $30.80, or 1.7%, to $1,809.70 per ounce. The rebound in gold follows the sector’s large declines from yesterday. Monday’s weakness was fueled by considerable strength in the U.S. dollar, particularly against the euro currency. On Tuesday, however, gold and silver bounced back alongside the general commodities complex despite stabilization in the euro/dollar currency cross near 1.3670.

Dennis Gartman, the long-time commodities investor and publisher of The Gartman Letter, wrote on Monday that given strength in the U.S. dollar, commodities and equities are likely to remain under considerable selling pressure. “We have to believe that gold too shall be and remain lower,” Gartman wrote. “There’s no other course of action” for the gold price to follow, he continued.

While Gartman’s short-term bearish outlook for the gold price appeared quite prescient given yesterday’s sell-off, many other investors see escalating sovereign debt and recession concerns across Europe and the U.S. as key catalysts for higher gold prices over the longer-term. One individual to share this view is Tony Hall, whose Duet Commodities Fund Ltd. has surged 33% year-to-date. According to Bloomberg, Hall recently predicted that the gold price may reach a new all-time high of $2,200 per ounce by the end of this year.

“The fear of recession, the fear of worse economic numbers is weighing on commodities and stopping gains from fundamentals from coming through,” Hall stated. “We still believe in the gold story. If you believe the world is in trouble or in further economic growth disruption, then gold is a good safe haven. If you believe that the world is going to come out okay, then it’s a good inflation hedge.”

Gold Spikes by More Than $30 and is expected to rally even more

Gold is expected to rally more than the $30 of this morning due to very bullish news coming out of Europe about the Greek's debt crisis but also Italy's credit grade downgrade this morning and the FED meeting where Ben Bernanke is expected to announce some new QE3 or similar " ...When I was on an hour, it was unbelievable that gold had not rallied more with the stark outlook for the U.S. and the European economy. some traders are saying they're also looking at headlines about the EU and IMF having to send officials to Athens to close the aid deal there and sources close to the troika saying that to wire services. will any of it be enough? that is what traders on the floor are mentioning. The downgrading of Italy's credit rating rating perhaps even more troubling than the Greek situation and then the FED meeting to watch and we are looking at gold prices back here at 1810 level and it is still down more than 100 bucks from the all-time high we saw just a week ago " says Sharon Epperson

Gold price posted substantial losses near $1,779

The gold price posted substantial losses near $1,779 Tuesday morning as amid broad-based liquidation in commodities and a rally in the U.S. dollar. The price of gold climbed to as high as $1,832 per ounce in overnight trading but relinquished its gains ahead of the open of U.S. equity markets. In contrast to the gold price, silver declined alongside cyclical commodities, by 3.7%, to $39.33 per ounce. The stability in the price of gold came after European policymakers failed to develop any new concrete plans for dealing with a potential Greek default in meetings over the weekend.

Commenting on the recent gold price weakness, UBS analyst Dominic Schnider wrote in a note to clients that “We’re in a consolidation, a very small one, since the beginning of September. Going forward now, we’re probably going to test somewhere the lows that we have seen at the end of August.” The level Schnider referred to occurred on August 25, when the gold price hit $1,704 per ounce.

While the sovereign debt concerns in Europe dominated the headlines last week, this coming week the focus is likely shift back to the United States. There the Federal Reserve will hold its two-day Federal Open Market Committee (FOMC) meeting on Tuesday and Wednesday. The Bernanke-led Fed recently chose to expand the meeting from one to two days due to heightened market and economic turmoil stemming from sovereign debt issues and concerns of a renewed recession in the U.S.

At the previous FOMC meeting in August, the Fed shifted its policy by committing to leaving the Fed fund rate near zero through mid-2013, but stopped short of launching a third round of quantitative easing (QE3). Although the September nonfarm payrolls report came in far worse than expected by most economists, the likelihood of a QE3 announcement this week is small, at least according to UBS’ Schnider. ”If people are expecting a QE3 right now, they could be disappointed. The hurdle is very high for a QE3.”

The Gold Market Dependent on Market Sentiment

Gold is whatever price you want it to be at the end of the day looking at demand and supply fundamentals it is not really connected to that aspect of the market more so it is connected to sentiments says Michael Langford, Proprietary Trader at StreamTrading.com,

Gold is benefiting from growing investor anxiety about ineffective government policies

HSBC was the latest investment bank to raise its gold price forecasts and is now calling for gold to reach $2,025 per ounce in 2012.

In the firm’s report, HSBC analyst James Steel wrote that “Despite gold’s high volatility and wide price swings, we remain positive on bullion. The steep rise to $2,025/oz for 2012 is based primarily on heightened investor anxieties and the paucity of alternative safe-haven assets.”

HSBC went on to say that ““We believe gold’s 10-year bull market remains firmly intact, despite high volatility, with prices up 29 percent already this year…The euro zone debt crisis, currency wars, and deep uncertainty among investors are among the factors driving prices higher…Gold is benefiting from growing investor anxiety about ineffective government policies, unsustainable government debt levels, and the potential for a further global slowdown.”

Dollar liquidity provisions are unlikely to be a game changer for the gold

Dollar liquidity provisions are unlikely to be a game
The gold price held steady near $1811 per ounce Friday closing as markets await the outcome of a meeting among euro zone finance ministers in Poland. While the price of gold stabilized, the euro currency slid 0.7% to 1.3779 against the U.S. dollar. Equity markets in Europe shrugged off the euro’s weakness to post modest gains. U.S. markets nonetheless looked to open slightly lower, with S&P futures down 2.50 points at 1,201.75.

The primary catalyst for this week gold price weakness was the announcement of a coordinated effort among several of the world’s largest central banks – including the ECB, Fed, Bank of England, Bank of Japan, and Swiss National Bank. The measures involved adding U.S. dollars into the European financial system to combat concerns over the health of many euro zone banks. This latest display of financial assistance in Europe fueled selling in investments tied to the gold price and buying in cyclically-sensitive equities and commodities. The euro currency also surged on the news, from near 1.37 to as high as 1.3885 against the dollar.

Commenting on the gold price sell-off and broad-based market rally, RBC Capital Markets gold strategist George Gero wrote in a note to clients that “Sell stops are being placed by funds looking at other assets as strong stocks are a headwind and gold, while important as an asset allocation, seems to have reached lofty levels.” Gero went on to say that “ECB is conducting dollar operations and temporarily there could be more stability after wards in the euro zone.”

While the gold price may face additional headwinds from these measures in the short-term, the dollar liquidity provisions are unlikely to be a game changer for the gold or the European sovereign debt crisis over the longer-term. The reason is that while they may help to shore banks’ short-term funding needs, they do not address their sovereign debt exposures.

Europe default may send Gold to $6000/oz

CNBC is now reporting that Gold may top $6000 an ounce along with silver at $600/oz in the near future caused by the banks failures and the default that are on the horizon in Europe , investment capital will continue to flock into safe heaven assets like gold and silver if these banks continue to default

David Morgan : we may see some softness in Gold before we see strength

David Morgan : we broke out of a traditional triangle pattern , I get emails saying that technical analysis does not work , first of all technical analysis dopes work some of the time , it is a tool but it is helpful , and we broke through the bottom side of this symmetrical triangle which normally is bearish for gold and as I said few weeks ago there is gap at the 1670 level I am not rolling that out longer term , I still believe that we are still going to see a a bit of a tough sliding for gold

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Gold price plunged below $1,800 per ounce Friday morning

The gold price plunged below $1,800 per ounce Friday morning with profit-taking in the gold futures market fueling the sell-off.Gold price stabilized near $1,782 after the European Central Bank announced “dollar liquidity” measures in cooperation with the U.S. Federal Reserve. With Greece on the verge of default, central banks are furiously attempting to inject confidence into the international monetary system.

While equity markets may therefore have more room to run in the short-term, the facts remain that with Greek one-year yields over 140% and ten-year yields near 25%, the credit markets are saying that it is a near certainty that Greece will default.

Kyle Bass, founder of hedge fund Hayman Capital, elaborated on this dire outcome in an interview with CNBC yesterday. Bass – who correctly has been bullish on the gold price and bearish on the euro zone for the past several years – argued that a Greek default is inevitable due largely to the fact that the nation’s significant debt burdens dwarf its ability to generate economic growth. “Greece has to default,” Bass contended. “It’s going to be a hard default, and then it’s going to be difficult to contain the contagion.”

Although Bass did not directly discuss other European nations facing debt challenges – such as Italy, Portugal, or Spain – the contagion he alluded to may mean a default for other members of the PIIGS. Moreover, Bass noted that there is no enforcement mechanism currently in place by which Germany and France can ensure that the PIIGS properly implement austerity measures and meet economic growth targets.

As for the gold price, while Bass did not focus on it specifically, the dire economic outcome he forecasted is likely to be beneficial for the yellow metal over the longer term. “The world is going to be a more destabilized place a year from now,” he contended.

During past periods of significant financial instability, policymakers across Europe and the U.S. have shown that their response is to drive interest rates lower and print money to try to stimulate their economies.

Donald Trump in association with APMEX Takes Gold as a Security Deposit

Donald Trump, chairman and president of The Trump Organization, explains why he will accept gold as a security deposit in lieu of U.S. dollars.Donald Trump : sadly we all know what's happening to the dollar , the dollar is going down and it is not a pretty picture and it is not being sustained by proper policy and proper thinking , this was an opportunity to show people what's happening to the dollar so we can do something about it "

Gold price today should be worth between $6,000 per ounce and $10,000 per ounce.

The gold price moved marginally lower Thursday morning, slipping $11.89 to $1,821.81 per ounce. The price of gold bounced back after disappointing retail sales data. The U.S. dollar weakened versus the euro and the yen while oil and copper prices declined 0.8% and 0.7%, respectively. Silver held near unchanged at $40.98 per ounce.

Despite yesterday’s gold price rally, long-time commodities investor Dennis Gartman noted that the yellow metal has made a series of lower highs thus far in September. Along with this bearish technical development, Gartman contended that gold could fall victim to further broad-based liquidation if financial markets continue to sell-off due to escalating sovereign debt issues in Europe.

In his daily Gartman Letter, he wrote that “Gold’s fortunes… seem to be waning at the moment…A move downward through $1802¬$1807 would likely set off a sizeable sum of stop loss orders. Caution… and we think rather extreme caution… is advised.”

Marc Faber, another well respected investor and market pundit, also appeared cautious on the short-term outlook for the gold price. In a recent interview with The Daily Ticker, Faber – author of the widely followed Gloom Boom & Doom Report – predicted that the price of gold is likely to remain quite volatile in the short-run.

Over the longer-term, however, Faber remained far more upbeat on the potential for higher gold prices. “Gold will be very well supported” in the coming years due to the continued debasement of fiat currencies – particularly the U.S. dollar and euro.

When compared to the amount of wealth created in emerging markets over the last decade and the increase in the global monetary base, the price of gold is “relatively low,” Faber contended. Although he did not provide a specific gold price target, Faber noted that “according to some statistics the gold price today should be worth between $6,000 per ounce and $10,000 per ounce.”

Owning physical gold is becoming more popular with Investors

Owning gold ETFs has been popular for a while, but some firms are starting to bet that owning physical gold is going to be popular as well : "private gold vaulting has traditionally limited the ultra high net worth of our society. it is hard to buy physical gold, have it stored properly and insured so our company is using technology and making it available to everybody " says avneet Singh, Bullion Gold International founder/CEO. " it's more the idea of choice. we want to give investors the ability to buy the physical asset. and we think if we can make it as easy as buying a stock or bond they'll always choose the hard assets because it is a safer product." "from a product perspective you can buy gold bars, gold coins and store them at different locations. we offer Zurich, London, New York, Utah. you can work through a financial adviser or call us. you want to buy physical gold as easily as a stock or bond"

3 Ways a Gold Standard Can Work

Steve Forbes is championing a return to a gold standard in five years time. together with Peter Schiff and Ron Paul , If Ron Paul become President in 2013. He will use Gold Standard for US dollar to make it valuable again.Paper money like Dollar, Yen, Euro, and rest currency are worthless. They are not valuable. Gold, Silver, Diamond, Ruby, Sapphire, Emerald, and other GEMS are worth a lot. If you go back in time like in Middle Age and you bring a currency from your country. You want to buy food and you give them your currency. You know what they going do they are going laugh at you. They say paper are worth nothing. Paper money is not just a mere userfriendly substitute for gold, like it is portrait to be and taught in schools; this is a dirty lie. Paper money is a means for power institutions (states, banks,..) to steal your valuables or fruit of your labor by imposing a fantasy trade item of which the value they manipulate as they wish. They can do this because violence is inherent in this system and all of humanity is oppressed by these institutions. Yes the world has changed; now we all are slaves

The bull market in gold is still intact

The gold price rallied Wednesday morning, gaining $28.10 to $1,843.10 per ounce. Gold prices have oscillated in a wide trading band over the past two months, falling as low as $1,704 in late August and then climbing to a fresh record of $1922.20 in early September. The price of gold is currently trading in the middle of the range as investors and investment strategists debate whether the yellow metal is set to break out or break down.

Commenting on the liquidation that engulfed the gold price, Stifel Nicolaus strategist Elliot Spar wrote in a note to clients that the “crack in gold is an indication that the fast money wants out no matter what the asset is.”

Long-time gold bull Richard Russell of Dow Theory Letters, the world’s longest-running daily investment letter, offered a more positive view on the gold price. Russell wrote that “Gold has been climbing atop a 150-day moving average for the last two years. The current sharp correction has not reversed or violated the two year pattern. That tells me that the bull market in gold is still intact. Note that gold is still holding above its base at 1800.”

Despite yesterday’s rebound in the broader markets, euro zone sovereign debt issues are likely to remain at the forefront of financial concerns in the weeks ahead. Financial markets are pricing in a 98% likelihood of a Greek default, fueled most recently by speculation that Germany is preparing its banks for such a dire outcome.

Suki Mann, a strategist at Societe Generale in London, presented a particularly calamitous forecast for the euro zone if Greece in fact does default. “The contagion impact of a default will be severe, because next in the firing line will be Italy, Spain and it will take in the whole of the European banking sector too. This trio are already under intense pressure, but it will get much worse.”

Nick Barisheff : Gold Is Not in a Bubble

Nick Barisheff, CEO at Bullion Management Group Inc says Gold is not in a bubble , Gold has been money for 3000 years and it is still today , the same people that say Gold is a bubble have been saying that gold was in a bubble when it was at 500 , at 800 at a 1000 , and now at 1800 , gold is money also if you has hundred dollars bills in a vault they do not produce dividends , that's because gold is money it does not produce dividend too , because money is not an investment , we are in a currency bubble not in a gold bubble ....

In China Investment demand for Bullion remains strong

In China Gold jewelry demand accounts for 53 percent of China's total gold reserves. If the global price for the precious metal keeps rising, it's set to increase the risk of gold investment Investment demand for Bullion remains strong despite the instability of the prices and the high volatility the investment remains relatively low risk .....

Still very strong demand for Gold across the board

"I think what we're seeing is continued strong interest in gold across the board,whether it is in the futures speculative positions have been rising pretty aggressively during last couple of weeks , whether it is in ETCs where we are seeing pretty strong inflows and also in the physical market " says Nicholas Brooks, Head of Research and Investment Strategy at ETF Securities told CNBC. " so I think across the board despite the price being at only 3 percent off its all time high we are still seeing very strong demand "

Fed will expand its accommodative policies and perhaps launch a third round of quantitative easing (QE3)

The gold price fell $14.27 to $1,818.70 Tuesday morning as sovereign debt concerns in Europe led to broad-based liquidation in financial markets. Gold equities looked to open lower alongside the price of gold. While investments tied to the price of gold have largely benefited from global economic worries, this was not the case this morning. Commenting on the gold price sell-off, long-time commodities investor Dennis Gartman wrote in his daily Gartman Letter that “The margin clerks will be sharpening their knives today and will take dead aim even upon gold if that is where they think they can find liquidity.” He also noted that some investors “will argue that gold will prove valuable and will hold its value even as stock prices plunge, and in the long run they may well be right.”

In the U.S., although economic data was relatively light last week, speeches by Fed Chairman Ben Bernanke and President Barack Obama illustrated that policymakers remain quite concerned over the prospects over a renewed recession. Investors are eagerly anticipating the next FOMC meeting on September 20-21 to see if the Fed will expand its accommodative policies and perhaps launch a third round of quantitative easing (QE3).

This coming weekly contains several key economic reports that are likely to serve as catalysts for the gold price and the direction of U.S. monetary policy. The Producer Price Index (PPI) and Consumer Price Index (PPI) – two key measures of inflation – are due out on Wednesday and Thursday, respectively. Retail sales for August will also be released on Wednesday, followed by weekly jobless claims and the Philadelphia Fed Index on Thursday. Lastly, University of Michigan Consumer Sentiment is due out on Friday.

Gold Prices Trapped in a no Mans Land says Phil Streible

Gold Prices Trapped in a no Man's Land says Phil Streible, senior market strategist at MFGlobal, He says there is slight more downside risk to the gold price but that prices are trading in a tight volatile range.seems like some deflationary aspects is coming into the market today , but if we break through about $1875 to the upside that upward momentum should carry us back up to the contract highs and if we close there I think the $2000 and $2300 is back in the cards

James Turk on Goldseek Radio - Sep. 6, 2011

James Turk : ..there is so much nervousness about the fragility of the banking system pretty much globally , everybody knows that the Banks are over leveraged have a lot of bad debt and therefore they are worried about their deposits , in this kind of environment Gold is always going to do well ....we are in the second stage of the Gold bull market , this is the longest and most powerful stage and as gold prices continues to rise it attracts increasing attention and people who have nort been gold buyers before are attracted to the gold market as they are going to learn the advantages the gold has to offer

FOMC meeting (21 September) which may signal that monetary easing is on the cards

In President Obama’s much-anticipated speech last week, he proposed a plan that would inject $447bn into the US economy. The focus of the plan is a $250bn reduction in payroll taxes, while $150bn has been allocated to infrastructure spending. Speculation is that this plan could add between one and three percentage points to GDP in 2012. Nevertheless, markets have been uninspired, with safe-haven assets (such as gold) continuing to garner interest. Perhaps investors are sceptical that Congress will pass this plan (especially after the recent debt ceiling negotiations).

Fed Chairman Bernanke’s address last week disappointed market participants who were looking for a stronger indication of further QE3. However, analyst has pointed out, he again referenced the next FOMC meeting (21 September) which may signal that monetary easing is on the cards. While our bullish view on gold is independent of further monetary easing
by the Fed, such an action would only serve to open up more upside. Adding to last week disappointment, were the ECB and BoE which gave no indications of further monetary easing.

With concerns over the Eurozone still very much front of mind, many participants might be looking for some progress on this issue. Gold support is at $1,833 and $1,787

President’s jobs program - unlikely to have a large impact on the direction of the gold price

The gold price slid $14.3 to $1,855.80 per ounce Friday night closing amid widespread liquidation in precious metals. In doing so, the price of gold surrendered approximately half of yesterday’s 2.9% rally and turned back into negative territory for the week. Yesterday the gold price held firm after Fed Chairman Ben Bernanke’s speech on the economy and U.S. President Barack Obama’s jobs speech last evening. COMEX gold futures – per the December 2011 contract – climbed to $1,889.10 in overnight trading, but tumbled to as low as $1,825.50 at approximately 6:15am ET on heavy volume.

According to Jan Hatzius, chief U.S. economist at Goldman Sachs. In a note to clients, Hatzius wrote that Bernanke’s “description of current conditions and the economic outlook was broadly in line with other recent Fed communication—including the August FOMC statement and minutes, and his recent speech at the annual Jackson Hole conference.”

Hatzius also noted that while Bernanke “continued to say that the Fed expected stronger growth in the second half, he again pointed out that some of the causes of weakness in growth earlier in the year could be more persistent. On inflation, Bernanke noted that while headline inflation had picked up, inflation is expected to moderate as ‘transitory influences wane.’ The Fed currently sees ‘little indication that the higher rate of inflation … has become ingrained in the economy’.”

Hatzius also published a report on Obama’s speech, noting that “The President’s proposal is larger than expected, with spending proposals and tax cuts both somewhat greater than expected. This proposal does not imply a significant shift in the fiscal restraint in 2012, but it is consistent with our expectation that the payroll tax cut will be extended, and the fact that some of the new proposals involve additional tax cuts increases the probability that Congress will enact them.”

While the President’s jobs program is receiving considerable attention yesterday, it is unlikely to have a large impact on the direction of the gold price due to the fact that its size is small relative to the Federal Reserve’s monetary policies, and – more importantly – because it does not address the fundamental structural problems in the U.S. of excessive public and private sector debt levels and policymakers’ misguided insistence on preventing debt restructurings from occurring.

Gaddafi sold 20% of Libyas Gold reserves before leaving

Azzouz Qasim the Libyan central bank governor Revealed Tuesday that the Colonel Muammar Gaddafi's regime has sold in the last days before its collapse 20% of the gold reserves, equal to 29 tons of gold. Mr Azzouz told a news conference in Tripoli that gold sold was worth 1.7 billion dinars (1.47 billion dollars), It was sold in dinars in last April / May to traders within Libya to pay off staff salaries and to provide liquidity in the capital, The Bank officials say the gold sold may have found its way to neighboring countries such as Tunisia and others. The former Libyan Central Bank Governor Farhat Bin Guidara said last month that Gaddafi will try to sell a portion of the Libyan gold reserves to pay for protection and create chaos among the tribes in Libya. Bin Guidara told the Italian Corriere della Sera that there are in Tripoli reserves of gold worth ten billion dollars, and may be Gaddafi took some of them, and he pointed out that supporters of Gaddafi offered 25 tons of gold on his banker friend a short time ago.Azzouz confirmed that none of the assets of the Central Bank, whether or not gold that was not exposed to theft, and that what Gaddafi took was not from the coffers of the central bank, adding that the total cash reserves of the Bank of Libya are approximately $ 115 billion, ninety billion of which there are abroadAccording to the World Gold Council statistics for the past month, Libya Gold reserves are about 143.8 tons, equivalent to 5.6% of the total world Gold reserves .

JULIAN PHILLIPS : Central Bank Gold Buying & China Role in the Gold Market

JULIAN PHILLIPS : as an investor in Gold mining shares I would tend to put a big circle around those countries able to take locally produced gold into their reserves those deposits will be far less vulnerable , not entirely without vulnerability but certainly far less vulnerable to such policies (Gold confiscation )Europe is a classic example of a fixed currency system , you got a strong Germany which actually needs a strong Deutschmark , you got a weak Greece which needs a weak Drachma you put the two together under a one currency that's a fixed exchange rate and the end result you can possibly have is all the capital finds its way into northern Europe leaving Greek investors invested up north and not in their own economy , making sure that Greece remains a nice holiday resort period , so fixed exchange rate I think are a disaster for a range of economies worldwide

QE “Can Do No Good” for the Economy

The gold price rallied $49.25 to $1,867 per ounce Friday morning, continuing its recent string of outsized moves. After falling $57 yesterday and briefly slipping under $1,800, the price of gold steadied ahead of a key speech later today from Fed Chairman Ben Bernanke where he will address the state of the economy. Several investment strategists have suggested that Bernanke may telegraph his intention to announce additional monetary accommodation at the September 20-21 Federal Open Market Committee meeting.

Gold prices held firm this morning following the announcement from the European Central Bank (ECB) that interest rates were left unchanged at 1.5%. President Jean-Claude Trichet will hold a press conference at 2:30pm eastern time today. Trichet, who has repeatedly stated his inclination to pursue “strong vigilance” with respect to inflation, is expected to offer a more dovish outlook on price pressures in the euro zone.

When asked in a CNBC interview on Thursday if additional rounds of quantitative easing will help the economy, Edelman responded that “QE can do no good for the economy" because here’s what they’re about: You look at a snake and imagine it swallowing its own tail, you look at the Fed and think that, and if money is fundable and here is what really happens. The government sells Treasuries to the investment banks and other financial institutions and some cases foreign governments and the financial institutions, including the banks, borrow against those Treasuries at the Fed, and the Fed lends them the money against the Treasuries at a lower interest rate than they’re receiving from the Treasuries, and then the Fed goes back and buys the Treasuries at a higher price than they paid for the Treasuries.” Either way, the bull market in gold – now in its 11th year – is sending a strong signal that Bernanke’s policies continue to have very damaging consequences on the global economy.

The Gold Correction Explained

Roger Wiegand explains what happened to the Gold prices recently and why we saw that 100 dollars corrections : ....well 3 things happened that fundamentally moved markets the last couple of days , the Swiss put a cap on their currency which is capital controls on money , I was very disappointed to see that and I can understand why they did it , the Swiss franc which was the go to currency is down , that makes it virtually untradable , that was one of my favorite currencies to trade , next thing was that the German Congress agrees to give cash to Greece and Portugal this means that Germany is going down to slippery slop , the selling in Gold today was just a normal profit taking the trend remains up , there is no problem with gold and silver

Gold price slid 2.5% Thursday morning, declining $60.20 to $1,815 per ounce

The gold price slid 2.5% Thursday morning, declining $60.20 to $1,815 per ounce. After trading to a new all-time high early yesterday, the price of gold has plunged $92 over the past 30 hours. Cyclically-sensitive assets climbed higher with stock prices rising 1% as measured by the most actively traded S&P 500 futures contract. Oil rose 1% to $85.90 per barrel while copper gained 1.1% to $4.12 per pound.

Speculation that President Obama will announce an economic stimulus package at a press conference tomorrow helped buoy stocks and commodities. The U.S. dollar, which has rallied for six consecutive days as measured by the U.S. Dollar Index (DXY), moved lower versus its foreign counterparts.Weakness in the gold price yesterday was fueled in part by a relatively rare occurrence in recent months – an encouraging piece of U.S. economic data. The ISM services index for August rose to 53.3, north of the 51.0 consensus estimate among economists. The better than expected report helped calm fears – at least temporarily – that the U.S. economy is headed toward another recession.

Analysts at HSBC thought as much, where in a note to clients they wrote that “Central banks have shifted to exchange rate policy aiming to have the weakest currency in town. This is a game that everyone can’t win… but that doesn’t mean they won’t keep trying…One currency that will benefit most from this is the one that will not complain, gold.”

Long-time gold bull and Dow Theory Letters author Richard Russell offered a similar comment recently. “The Russell opinion is that we’re seeing the slow but inevitable end of fiat irredeemable money,” he wrote. “Gold will be the last man standing. Even the central banks have reversed their gold-having stand and are now buying gold”.

Russell went on to assert that “Gold is the true money that no central bank can print. No wonder sophisticated investors accumulate it…The prescription that central banks offer is to keep printing their garbage-money. The world is beginning to understand.”

Boom of The Gold Mining in China

World gold prices have soared recently amid financial fears. While you might expect this to mean more output, some Chinese mining firms have a different approach--working lower grade ore.(Tibetan: Yulshul) in Qinghai Province will likely become one of Asia’s largest goldmines, with proven reserves of 300 tonnes, in 2015, reported China’s official Xinhua news agency Aug 27, citing provincial land and resource officials.The report said the geological exploration was conducted jointly by Qinghai geology and mineral exploration and development bureau and a Canadian mining company with a total investment of 200 million yuan (US $31.3 million).Noting that Qinghai was endowed with rich mineral resources, the report said the proven gold reserves of the province's six mines, including Dachang, was 430 tonnes.The gold price is hovering near the $2,000 range, as global finance markets remain unstable. For many world mining operations, this has meant something of a golden age. The law of supply and demand dictates that as gold is worth more, there will be greater efforts to boost output and take advantage of the price conditions.


But things are different in the east Chinese city of Zhaoyuan. It's known as the country's gold capital for its abundant deposits. One small privately-owned gold mine here is estimated to produce some 350 kilograms of gold a year, out of 120 tons of gold ore explored every day.Production has stayed stable despite the recent price jumps—like some other Chinese gold mines, Zhaoyuan's are keeping output steady, by expanding operations into lower grade ore.[Hao Zengbao, Zhaoyuan Gold Administrator]:"This is a resource-type enterprise, as gold mines have their own limited service life spans, and mining exploration usually has to expand year by year, so as to make exploration and mining balanced."

Gold has two strong reasons to rally

Gold price traded to yet another record high at $1,921 per ounce overnight before moving back below $1,900 Wednesday morning. The price of gold surged following heavy liquidation in European stock markets on the back of a key election loss by German Chancellor Angela Merkel’s political party. S&P 500 stock futures plunged 27.30 to 1,142 while the cyclically-sensitive copper price, lower by 1.8% to $4.05 per pound, headed for its largest loss in over a month. The gold price rallied and equity markets in Asia and Europe posted steep losses amid escalating euro zone sovereign debt concerns. The rising fears stemmed from the news that German Chancellor Angela Merkel’s political party suffered its fifth election loss this year and its worst showing since 1990.

Although this week’s economic calendar is on the lighter side, there are several key items likely to impact gold prices and the broader markets. The ISM Services Index is due out later this morning, followed on Wednesday by the Fed’s Beige Book. Weekly jobless claims will be released on Thursday, along with President Obama’s proposal of a new stimulus program aimed at boosting the employment market.

In addition to Obama’s announcement, Ben Bernanke is scheduled to provide his latest economic outlook in a speech on Thursday. Investors will be paying close attention to see if the Federal Reserve Chairman provides any signals regarding monetary policy at the upcoming FOMC meeting on September 20-21.

Commenting on the outlook for the gold price, UBS analyst Edel Tully wrote in a note to clients that “With the implications of Friday’s U.S. payrolls report and intense focus on European sovereign issues this week, gold has two strong reasons to rally. Additional evidence of U.S. economic weakness raises the likelihood that the Federal Reserve will announce further easing this month. As European woes reclaim center-stage and in turn investor nervousness extends, these factors will support gold in the coming weeks.”

Gold up 25% in the last 3 months alone

Gold back above 1,900 dollars again , Gold price creates new intraday record on Asian trading this morning .Gold together with silver is a currency a monetary metal , who cares really if the jewellery demand is shrinking as long as the demand for Gold bullion is exploding worldwide and people are starting to wake up to the fact that the only real money out there is Gold and Silver . "Gold is continually showing that it wants to go higher when the markets are going lower, and that seems to be the key change that's happened during the summer," says Ned Naylor-Leyland, investment director at Cheviot,

Gold Falls From Record Price as Swiss Central Bank Imposes Franc Ceiling

Gold fell from a record in London as some investors sold metal to cover losses in the Swiss franc after the country’s central bank imposed a ceiling to the exchange rate.The Swiss franc tumbled after the bank set a minimum exchange rate of 1.20 per euro and said it will defend the target with the “utmost determination” if needed. Ministers from Germany, Finland and the Netherlands will meet today to discuss a Finnish demand for collateral in a bailout for Greece, while the Italian Senate will debate an austerity plan amid a strike. Read Article @ Bloomberg >>>>>>

China SGE to raise gold, silver margin requirements starting Sep 9

Gold Stocks in China Falling despite the Bull Market : This would explain why gold and silver prices were suddenly hammered lower early this morning following the news that The Shanghai Gold Exchange has announced additional gold and silver margin hikes on forward contracts effective Sept. 9th. The Chinese are WAY less likely to be satisfied with paper ticket. We are dis-educated.... but it is normal cultural practice for them to accumulate shiny valuable things and pay cash for them.I do think there is a market for gold-paper there and yes it does add to manipulation via futures market but it will ultimately be undone by the physical markets. (unless we get global totalitarian state with money metals confiscated.

gold price surged Tuesday morning climbed back to $1,900 per ounce!

The gold price surged Tuesday morning climbed back to $1,900 per ounce after last week the Labor Department reported that zero nonfarm payrolls were created in August versus expectations of 68,000, according to a Bloomberg survey of economists. This was the weakest jobs data since September 2010. Furthermore, July’s payroll figures were revised downward. The unemployment rate was unchanged at 9.1% in August.

Peter Schiff on how to invest wisely in Gold and avoid scams

Peter Schiff : Classic Gold scams & How to avoid getting ripped off , some classic tactic used by some Gold sellers is to advertise something that is really cheap for example a Canadian maple leaf coin with say a 1 percent markup but their real intentions is to sell you something else like a collectible rare or numismatic coin that has a 100 percent mark up claiming that the government will not confiscate it , warns Peter Schiff

Mike Maloney : Ben Bernanke is dumber than Gold

Mike Maloney on the Keiser Report with Max Keiser 03 Sept 2011 : I said before that Ben Bernanke is dumber than Gold , Gold automatically balances interest rates it balances currency inflows and outflows trading balances this is something that did not take a group of men trying to figure these things out , what we have got is a monetary system that is a Ponzi scheme it steals wealth from the middle class and transfers that wealth to the government and the banking sector these people got to ride for free because what they are doing by printing more currency and diluting the currency supply all the time and this is what zero interest rate will do it will expand the currency supply when they do this it dilutes the currency supply and causes the purchasing power to go down , people call it inflation , it is actually the dollar losing purchasing power , so basically he is on path of destroying the dollar ...

Gerald Celente : Gold is the Ultimate Golden safe heaven

Gerald Celente : I begun trading   Gold   in 1978 , my first buy was at 187 dollars and fifty cents an ounce , and what's different now and then that people do not understand and why they think it is a bubble and it is not is back then it was only the United States that was really playing the gold market you had guys like The Hunt Brothers that had cornered the silver market for example it is a whole different world now , back then there was the red Chinese nobody was doing business with them and Russia and Eastern Europe were locked behind the Soviet Union's iron curtain , there is a whole global game going on it is a global meltdown and Gold is the ultimate golden safe heaven that's gold is going so high it is because everyone knows that the only way that the Europeans or the Americans can get their way out of this mess they are actually not going to get out of it but to keep the Ponzi scheme going is by printing more money but they put those white shoe boyz labels on it such as 'QE2' and 'QE3' it means just printing more money and by the way : interest rates the FED have said that they are going to keep them down near zero until mid 2013 and the European Central Bank ECB is talking about lowering them and so the lower the interest rates go and they stay low the higher the price of gold goes it is simple arithmetic ...

Gold prices have risen on the back of the prospects for further economic weakness in the second half of 2011

The gold price surged closing this week ahead of the release of the monthly jobs report and rallied further on the weaker than expected data. The price of gold climbed $56.12 to $1,882.30 per ounce after the Labor Department reported that zero nonfarm payrolls were created in August versus expectations of 68,000, according to a Bloomberg survey of economists. This was the weakest jobs data since September 2010. Furthermore, July’s payroll figures were revised downward. The unemployment rate was unchanged at 9.1% in August.

Gold prices have risen on the back of the prospects for further economic weakness in the second half of 2011 and into 2012. Furthermore, the Federal Reserve’s recent pledge to hold the Fed funds rate near zero until mid-2013 has fostered an even more favorable environment for the price of gold. Until a more consistent set of encouraging economic data emerges, the gold price is likely to remain well supported.

Robin Bhar, senior metals analyst with Credit Agricole, echoed these sentiments in a note to clients this week. “When real interest rates are negative like in the (United) States for the foreseeable future, that’s going to be a huge boost to gold,” Bhar wrote. “The opportunity cost, among other factors, is negligible…Nothing has really changed in terms of the appetite (among investors) for diversifying into and holding gold as a form of insurance.”

Bhar went on to say that “Economic and financial developments should be the main drivers of the gold price for the rest of 2011.” Specifically, the Credit Agricole analyst pointed to rising debt burdens in the U.S. and euro zone, ongoing currency debasement, and deflationary risks, among other items.

Gold the most precious precious metal

Gold is now the most precious precious metal , for the first time in history Gold is now more expensive than Platinum and Rhodium , Gold is today and for the first time in history the most expensive precious metal as the prices of gold and silver surge to the highest level in more than a week against a weak job report.

Andy Schectman : $10,000 GOLD

Andy Schectman Miles Franklin Precious Metals CEO gives his view on precious metals demand, the Pan Asia Gold Exchange, the Bernanke and the fall of the EU and United States. Buckle up. " When everybody realizes that this is not much a liquidity crisis but a currency crisis , interest rates have nowhere to go but higher and when that happens what I consider to be the mother of all bubble has nowhere to go but down " says Andy "we are starting to see for the first time central banks accumulating Gold , they were net sellers just few years ago"

Looking ahead to September – which is historically the best month for gold prices

The gold price oscillated near $1,830 per ounce Friday morning, trading near unchanged on the day. After sliding off its $1,913 all-time high posted on Aug 22, the price of gold has been held in check under $1,850 as investors and traders weigh whether a deeper correction is in the offing.

Economic figures continue to be scrutinized for clues as to whether the recent deterioration in data is merely a pause in a recovery, or a double-dip recession is forthcoming. Tomorrow’s unemployment report from the Labor Department will offer information as to whether the jobs market continues to stagnate. The lack of job creation has helped keep central bankers in the dovish camp with respect to monetary policy – a fact that has helped boost the gold price.

Looking ahead to September – which is historically the best month for gold prices – the upcoming Federal Open Market Committee (FOMC) meeting is likely to serve as the key catalyst for the yellow metal. Michael Churchill, head of Churchill Research, wrote in a note to clients that he expects the Fed to expand its easy monetary policies at the September meeting.

“The August Fed minutes were much more dovish than I would have expected,” Churchill noted. “From the eyes of the FOMC participants, the economy is weak, inflation is firmly under control (and likely to start trending down again soon), the labor market is slack and business confidence is depressed. The FOMC’s statement that it plans an extra day at its September meeting to discuss further easing measures signals quite clearly that the Fed is likely to do undertake some form of additional easing, though probably not under the headline of QE3.”

Although Churchill did not predict QE3, he expects gold prices to remain firmly underpinned. “With the funds rate likely to be pinned at 0.25% for the foreseeable future, and with additional easing measures also in the works, the path of least resistance for gold (and by extension silver) remains upward.”

The New California Gold Rush

Thanks to record gold prices, companies are reopening California's old mines , it takes a lot oif money and patience to start a new mine , there is gold in California and Nevada and the companies are rushing tp extract it , the hardest part though is not mining the gold but getting the permits to mine and cope with the rules and regulations , it may take up to 15 years to open a mine due to the regulations in place

Mention of additional stimulus measures helped send the gold price toward $1,840 per ounce

The gold price dropped $6.00 Wednesday to $1,829.50 per ounce after gaining 2.6% during yesterday’s session. While the price of gold has been mired in a trading range over the past two weeks, the broader stock and commodity markets have regained their footing. Stocks are on pace to advance for the fourth consecutive day on rising expectations that the Federal Reserve is prepared to implement additional monetary easing measures at the September Federal Open Market Committee meeting.

The mention of additional stimulus measures helped send the gold price toward $1,840 per ounce. Looking ahead, many market strategists have adjusted their monetary policy outlooks to account for a more dovish Federal Reserve for longer than previously expected. The latest strategist to do so was Macquarie’s Stephen Harris, who in a note to clients wrote that “We think the Fed could keep rates unchanged until 2015. This is an increase from our previous expectation of 2014 and indeed, we don’t think it is much of a stretch to see short rates remaining unchanged for the rest of the decade.”

In light of its outlook for the Fed, Macquarie raised its 2011-2012 gold price targets. The firm is now forecasting a gold price of $2,000 by the end of 2011, and a $2,500 price of gold by 2012. “Gold has typically risen by nearly 25% per year when real U.S. short rates have been negative,” Harris asserted, “which looks to be a virtual certainty from now through 2012.”

Gold is till in an overall bull trend

While gold is off its all time high, prices are up more than 25 percent this year. Insight on where will head to next, with Mihir Dange, Arbitrage gold options trader.gold is off the all-time high prices are up more than 25% this year and yesterday popped $35 an ounce after a Chicago fed president Charles Evans told Steve linesman that we were basically in a recession at least when you look at the job market. "we're still in an overall bull trend. there's one piece of mfgs that still has me a little bearish and that's we have a trend gab at 1668.70. we would see that number and on the lows we were going to hit that number last week. it's all over the place right now. the volatility is still very high and we're getting $60 moves." says Mihir Dange