Gold high spot price

[Zhorro]

1 hour ago, HawkHybrid said:

https://www.youtube.com/watch?v=CvkK-_mEoKI

 

illuminatisilver with some data.

 

HH

Yes, this is an interesting video on the World Gold Council's report for the first half of 2019.  Basically saying that Central Banks' purchases of gold were substantially up, sales of gold bars and coins were low, and speculation in gold was high.

[KDave]

Yes it says short term holders (speculators) are getting in and long term holders (buyers of physical) have stopped buying, with the exception of the banks. Speculators/paper gold was one of the main influences in the 2016 price rise and fall - perhaps again is an indication that the recent rise is temporary.

Central bank buying is interesting. Preparing the paradigm shift I think. A few years more needed I think. 

 

[goldmember44]

Well, the fact that the Central Banks are buying (and that means a LOT MORE gold being bought than mere retail investors... we are talking several tons of gold per year), is very bullish for gold. Who cares if small investors are not buying, when the truly big ones are? They are more able to affect the gold price. So... if this trend of central bank buying continues (and there is no indication that it's about to stop, due to increasingly unstable geopolitics), then even if all retail investors stopped buying coins, the gold price will still rise.

[KDave]

I would argue that physical is not the main driver of the gold price.

[goldmember44]

1 minute ago, KDave said:

I would argue that physical is not the main driver of the gold price.

Indeed... it was big Goldman Sachs etc shorts that kept the gold price low until the early 2000s, until Gordon Brown bailed out the American investment banks by mass-dumping England's gold stores, thereby artificially lowering the gold price so that Goldman & co could get out of their massive shorts that held up the price... and thereafter gold started rising more naturally. Who knows what their current involvement is.

[Notafront4adragon]

3 minutes ago, goldmember44 said:

Well, the fact that the Central Banks are buying (and that means a LOT MORE gold being bought than mere retail investors... we are talking several tons of gold per year), is very bullish for gold. Who cares if small investors are not buying, when the truly big ones are? They are more able to affect the gold price. So... if this trend of central bank buying continues (and there is no indication that it's about to stop, due to increasingly unstable geopolitics), then even if all retail investors stopped buying coins, the gold price will still rise.

But I think the point of the video is doesn't matter if it rises currently the average buyer can't/won't afford the prices being asked.

Doesn't matter the asking price, it's the buying price that we'd be interested in. 

Of course long term the high price may become the accepted price but fewer regular folk will be able to own/want to own gold. 

 

[goldmember44]

1 minute ago, Notafront4adragon said:

But I think the point of the video is doesn't matter if it rises currently the average buyer can't/won't afford the prices being asked.

Doesn't matter the asking price, it's the buying price that we'd be interested in. 

Of course long term the high price may become the accepted price but fewer regular folk will be able to own/want to own gold. 

 

We've been conditioned with a relatively low gold price, moving sideways for quite some time.. if gold seems too expensive for buyers today, what will they say when the price is double what it is now? It's all relative. If you pay £1,200 for an ounce today, it may seem expensive... but if the spot price rises to £1,500 next year, you would wish you had bought it at £1,200, which will then sound cheap by comparison... Nobody knows where the prices are going, but if gold really is entering a new bull market, then something like this should be expected and taken into consideration. And if that's too expensive for the average buyer, perhaps they will have to switch to fractionals... or half sovereigns instead of full sovereigns. I actually think going forward half sovereigns will become a lot more popular among collectors...

[Stu]

Gold on a tear again this am , £1196. Will we have 1200 before the morning is up?

[Goldmick]

Wow 

[goluckystayhappy]

Be interesting to see if the beeb run any articles today about £1200 being breached.

[Goldmick]

Right now 

[AuricGoldfinger]

I’m very happy for the gold i own, and deeply mourn the gold I don’t.

[Goldmick]

Wow when i started this topic i didnt khow all this was gunna happen. OR DID I. NOW YOU ALL KHOW............😉😉😉😉

[MarkW]

Goldmick is in the know 👀

[Elements]

This latest spurt upwards to do with worsening trade tensions? Yuan was massively devalued overnight so trade wars turning into currency wars?

[Fastnick]

10 hours ago, goldmember44 said:

And if that's too expensive for the average buyer, perhaps they will have to switch to fractionals... or half sovereigns instead of full sovereigns. I actually think going forward half sovereigns will become a lot more popular among collectors...

Speaking personally, Half Soveregns are a very attractive option right now.

[ilovesilverireallydo]

This is one of the reasons why I focused a lot of my energy and funds into fractional - they always have higher premiums when selling - but when prices sky rocket like this - much easier to sell one by one than full sovs and other larger coins. I was picking up as many 1/10 krugs and Brits I could when I was getting them under £100... 

[goluckystayhappy]

Some going for the last three months.

 

[Notafront4adragon]

7 hours ago, Fastnick said:

Speaking personally, Half Soveregns are a very attractive option right 

About how much would you expect to pay for them at the moment? Gold went above 1200 an oz today. 

[Pipers]

I have kept buying for the long term. Experience has taught me when we are in stressed times the markets can do strange things.  The big price increase is down to the devaluation of the GBP, $1470 at £1-$150  =  £970  thats what we used to pay but now with the help of the BOE and there money printing we are at $1:21 

[Fastnick]

1 hour ago, Notafront4adragon said:

About how much would you expect to pay for them at the moment? Gold went above 1200 an oz today. 

I've picked 5 up in the last 3 weeks or so:

2 in mid-July at just under £129.50 each (inc. P&P)

2 at the very end of July at £133.50 each (inc. P&P)

1 today at £140 (inc. P&P)

[AuricGoldfinger]

£1205 now. Bejeesus

[adamthetaller]

14 hours ago, AuricGoldfinger said:

I’m very happy for the gold i own, and deeply mourn the gold I don’t.

As a 2019 noob to stacking gold I feel the same - happy for the 20%+ increase of the stuff I picked up sub £980 spot (most of what I have), sad that I didn't have the funds for more/start a little earlier. My Excel spreadsheet is certainly very convincing!

[AuricGoldfinger]

@adamthetaller just keep on stackin, that’s what I’m gonna do!

[Xander]

6 hours ago, Pipers said:

I have kept buying for the long term. Experience has taught me when we are in stressed times the markets can do strange things.  The big price increase is down to the devaluation of the GBP, $1470 at £1-$150  =  £970  thats what we used to pay but now with the help of the BOE and there money printing we are at $1:21 

If I remember rightly, 1980 it was £1=$1. Swings and roundabouts...keep stacking. Apart from the state of the £ the other reason it's going up is, people are still buying the stuff.🍺