London dealing in gold saw prices retreat toward last night's new four-month lows Thursday morning, failing to rally above $1,250 per ounce as world stocks markets held flat following publication of minutes from the U.S. Federal Reserve's last policy meeting.
Dr. Michael Berry, publisher of Morning Notes and a former portfolio manager, and Chris Berry, founder of House Mountain Partners and Morning Notes co-author, discuss what early-stage mines close to home could be the first to bolster supply in US.
Gold may or may not have put in a final D-Wave bottom last week. But there is a good chance that bottom is going to get tested in the next couple of weeks. And then of course we will have to contend with the selling pressure in stocks.
After logging six losing sessions that neared 5% and touching important must-not-break support near $1,520 an ounce, gold prices recovered as the final trading session of a quite turbulent year got underway this morning.
Gold prices touched $1,600 per ounce Friday lunchtime in London - a 2.3% rally from this week's lows - while stocks and commodities flat. "Physical market demand continues to improve," says Walter de Wet, Standard Bank commodities strategist.
According to Nouriel Roubini - NYU academic and ubiquitous media personality - "The Great Depression was caused by the Gold Standard." Because, Roubini thinks along with most others, that the Gold Standard's tiresome rules brought about that cataclysm.
Oil is becoming overbought, meaning it has moved up to far too fast and should have some profit taking shortly. The fact is that oil is reaching a century number ($100) and there will be a couple days of selling starting soon.