General Category > Sustenance

Silver and Gold

<< < (2/3) > >>

Nemo:
Gold back over $1900.  Blame it on Ukraine.

Nemo

https://www.morningstar.com/news/marketwatch/20220217512/gold-touches-1900-for-the-first-time-since-june-on-flare-up-in-russia-ukraine-tensions



--- Quote --- MarketWatch
Gold touches $1,900 for the first time since June on flare up in Russia-Ukraine tensions
Provided by Dow Jones
Feb 17, 2022 10:04 AM EST

By Myra P. Saefong and Mark DeCambre

Gold futures jumped on Thursday, touching a high of $1,900 an ounce for the first time since June of last year, as a flare-up in tensions between Russia and Ukraine renewed concerns about a wider military conflict.

Officials supporting Russia in the Donbas region have accused Ukraine's armed forces of launching grenades and mortar attacks into the Russia-backed region, which would be a breach of cease-fire agreements.

The accusations come as Moscow has been seen continuing to build up troops along the Ukraine border, despite claiming that it is withdrawing forces, according to U.S. intelligence.

Gold has been reacting to the geopolitical tensions in Eastern Europe, as well as evidence that inflation is surging in many parts of the world in the aftershocks from the COVID-19 pandemic.

Prices for the metal have climbed this month, benefitting mainly from "haven-investment demand brought about by the U.S.-Russia tension over Ukraine and concerns of persistent, elevated inflation," said Jeff Klearman, portfolio manager at GraniteShares, which offers the GraniteShares Gold Trust (BAR).

Against that backdrop, gold for April delivery rose $24.40, or 1.3%, to trade at $1,895.90 an ounce, following a 0.8% gain on Wednesday, which had marked the highest settlement for the most-active contract since June 11, FactSet data show. Prices on Thursday touched a high at $1,900, also for the first time since June.

The upside for gold, however, has been somewhat limited by concerns about central banks plans to raise interest rates to combat high inflation. The minutes released on Wednesday from the Federal Reserve's late-January policy meeting, however, didn't imply that the central bank was adopting a more hawkish stance than investors have already anticipated.

The meeting minutes seemed to indicate the Fed would act to increase rates "more cautiously than previously believed, adding to inflation concerns and supporting gold prices," Klearman told MarketWatch.

He points out that while 10-year real yields have increased 25 basis points since the end of January, from -71 basis points to -46 basis points, they are still negative despite growing expectations the Fed will tighten six or more times this year.

"Even more importantly 10-year inflation expectations have not declined, hovering near 2.5%," Klearman said. "Both these facts indicate the market is not convinced the Fed's current policies are aggressive enough to reduce inflation going forward, which is supportive of gold prices."

March silver also moved up by 11.5 cents, or 0.5%, to $23.72 an ounce, following a 1.1% gain a day ago.

Prices for silver moved up to session highs in the first few minutes after the release of U.S. data on weekly jobless claims and housing starts, as did gold, but both metals then pared back those gains.

In U.S. economic data, new applications for unemployment benefits jumped by 23,000 to 248,000 last week to break a string of recent declines. Meanwhile, U.S. home builders started construction on homes at a seasonally-adjusted annual rate of roughly 1.64 million in January -- roughly 4% decrease from the previous month

In other Comex trading Thursday, March copper edged lower by 0.2% to $4.528 a pound. April platinum lost 2% to $1,084.90 an ounce and March palladium traded at $2,367.50 an ounce, up 4.2%.

-Myra P. Saefong
--- End quote ---

Jackalope:
Can't eat silver or gold.

Nemo:
Barn not full?  Attic?  I ran out of room a while back so things mostly rotating. 

Besides, what happens if things start to get somewhat normal regarding production after a while. 

3Bs plus 2 is a good idea--  Beans, Bullets, Bandages with barter and bullion. 

My thinking anyway.

Nemo

FeedingFreedom:
Gold and silver are a medium of exchange when direct barter is not feasible. They have intrinsic value, unlike paper money or talley sticks or seashells or whatever people decide to use as a place marker for value. You can't eat them, but you could create a local economy and get goods you might not otherwise be able to get. You will need things you don't have, and if you don't have something (or enough of that something) the other person wants, how do you effect an exchange?

JohnyMac:
In theory, PM's should be the last think you buy. Food then shelter then defensive tools then PM's.

Buy silver first then if you have any money left over, gold.

Silver can be used to buy everyday items. Gold is for those big ticket items, tractor, vehicle, cow, horse, etc.

I have already predicted that Gold will be above $2,000 by mid year. Maybe sooner with all of the unrest around the globe.   

Navigation

[0] Message Index

[#] Next page

[*] Previous page