uebtoosui.blogr.com - Tag 'gold' (RSS 2.0)

Gold drops 3 per cent over dollar surge

uebtoosui — Mon, 28 Jul 2008 04:29:53 +0200

Gold dove over 3 per cent Wednesday as the dollar surged and crude oil prices sank, denting the precious metal's alternative investment appeal.Oil prices fell below $125 (U.S.) a barrel, soothing some of the inflation fears that have supported gold, while other commodities such as grains and base metals also slipped.HSBC analyst James Steel said a combination of weaker oil prices, declines in other commodities, an improvement in the credit market and the belief that the U.S. Federal Reserve may be focusing more on inflation are all conspiring to push gold lower.“Gold has four major things hitting it today so I would be very surprised, given the way other commodities and financial markets are moving, if gold wasn't down,” he said.U.S. goldfutures for August delivery settled down $25.70, or 2.7 per cent, at $922.80 an ounce on the Comex division of New York Mercantile Exchange. The low was $918.80, a two-week bottom. In after-hours electronic trade, the market slid to $917.80, a level 3.2 per cent below the Tuesday close of $948.50.Spot gold was at $919.90/921.50 by New York's last quote at 3:15 p.m. EDT (1915 GMT), down from $948.30/949.90 late in New York on Tuesday, having hit an intraday low of $917.75 – its lowest level since July 9.Crude prices tumbled, giving up more than $4 a barrel and dropping below $125 a barrel, as concerns eased that Hurricane Dolly would hit oil installations in the Gulf of Mexico, and after a rise in U.S. gasoline stocks., The dollar rallied to a two-week high against the euro, supported by a slide in the oil price and a recovery in risk appetite. A stronger greenback tends to pressure gold, which is often bought as an alternative investment to the currency. Gold usually moves in the same direction as crude, as it is often bought as a hedge against oil-led inflation.Investor interest in gold seemed to be softening, with the amount of gold held to back the SPDR Gold Trust in New York – the world's biggest gold-backed exchange-traded fund – falling 2 per cent to 690.26 tonnes on Tuesday.However, gold still has not broken below major support levels, and it still looked bullish in intermediate- to long-term charts, said LOGIC Advisors managing partner Bill O'Neill www.fashion-accouterment.com

Dubai gold factory 'to increase output'

uebtoosui — Mon, 28 Jul 2008 04:27:23 +0200

Damas, the Middle Eastern jewellery company, has announced plans for a 50 per cent output capacity increase at the gold factory which it owns along with Emaar Industries and Investments, according to the Gulf Daily News.

The factory in Dubai currently produces 12 tonnes of gold jewellery each year and the firm has said it intends to meet its targets to increase production by half by the end of 2009.

Speaking to the Gulf Daily News, chief executive of Damas Tawhid Abdullah said: "The demand for gold jewellery in the region is rising and we want to capitalise on that boom."

The newspaper claims approximately half of the gold produced by the factory remains in the United Arab Emirates and the rest is exported.

It adds that in recent years Dubai has become a major player in the gold industry alongside cities such as London, Hong Kong and New York.

This comes in the wake of an announcement from Damas that it is now stocking a new range of jewellery by the Italian designer Genero.

www.fashion-accouterment.com

Why gold prices up to so high?

uebtoosui — Wed, 16 Jul 2008 07:36:09 +0200

Lately, the price of the precious metal has soared in recent years. Gold has been golden.

In trading Tuesday at the New York Mercantile Exchange, the contract for an ounce of gold to be delivered in August 2008 settled at a whopping $923.3. Consultant says may hit $1000 an ounce next month.

Why is gold so hot? It's partly that gold is simply being swept along in the global commodity boom. The prices of metals—copper, steel, and gold—have all risen sharply, along with prices of sugar, soybeans, oil, and natural gas. The rising industrial and consumer bases in China and India. Production of most of these commodities is increasing—just not rapidly enough to keep up with demand, or with perceived future demand. At root, prices are rising because people are consuming more of the stuff. There's no way out but up for gold now. Either the global boom continues and rising demand carries gold higher, or the boom goes bust and the consequent inflation does the job for gold