Tesoro Del Alma News...
Sunday, July 13, 2008
Update
UPDATE: Spot Gold Hits $960/Oz, 4 Mo-High On Resurgent Crude
Fri, Jul 11 2008, 13:45 GMT
http://www.djnewswires.com/eu
UPDATE: Spot Gold Hits $960/Oz, 4 Mo-High On Resurgent Crude
(recasts lede, updates with prices, analyst comment.)
LONDON (Dow Jones)--Spot gold broke through key resistance at $950 a troy ounce Friday, to a four-month high, buoyed by resurgent crude oil, and further gains are expected.
Spot gold rose to $962.35 a troy ounce as of 1318 GMT, up almost 4% from Thursday's low.
Inflation concerns, with crude back at record levels, and comments this week by European Central Bank President Jean-Claude Trichet have underpinned gold's recent rally, said analysts.
Nymex crude oil futures topped $146 a barrel in London Friday on the back of a weaker dollar, saber rattling over Iran's nuclear program and ongoing tensions in Nigeria, which one London trader said was the dominant factor driving gold's move Friday.
Meanwhile, the dollar has fallen even further against the euro Friday, lending another pillar of support to gold as U.S. stocks sank on concerns about U.S. mortgage giants Freddie and Fannie's prospects.
Spot gold gathered renewed momentum Friday afternoon in London as the U.S. opened, fueled by a break of key technical levels between $945 and $955, which has attracted a fresh round of buying, said analyst Tom Kendall of Mitsubishi Corp.Inflation concerns are supporting gold's move with a growing view that the weak European economy means the ECB won't be able to raise rates again this year. "This is bullish for gold in that inflation is rising but central banks can't do anything about it," he said. Commodity prices are rising globally, and not just in U.S. dollar terms, but in terms of most other currencies, suggesting momentum is geared towards higher prices said analyst Dennis Gartman of industry newsletter, TheGartmanLetter.
Spot gold is breaking through key resistance in euro terms around EUR600 a troy ounce, after bouncing from "formidable" support at EUR550, he noted.
Sentiment has clearly improved towards gold over the past twenty-four hours which has helped silver and probably platinum too, said analyst John Reade of UBS.
Now that resistance at $948 a troy ounce has broken, spot gold targets $984/oz, he said.
Still, the market is "already pretty long and external drivers (specifically the dollar, oil and systemic risk fears) will need to be cooperative for this to occur," he warned.
-By Melanie Burton, Dow Jones Newswires; +44 (0)20 7842 9412; melanie.burton@dowjones.com
Fri, Jul 11 2008, 13:45 GMT
http://www.djnewswires.com/eu
UPDATE: Spot Gold Hits $960/Oz, 4 Mo-High On Resurgent Crude
(recasts lede, updates with prices, analyst comment.)
LONDON (Dow Jones)--Spot gold broke through key resistance at $950 a troy ounce Friday, to a four-month high, buoyed by resurgent crude oil, and further gains are expected.
Spot gold rose to $962.35 a troy ounce as of 1318 GMT, up almost 4% from Thursday's low.
Inflation concerns, with crude back at record levels, and comments this week by European Central Bank President Jean-Claude Trichet have underpinned gold's recent rally, said analysts.
Nymex crude oil futures topped $146 a barrel in London Friday on the back of a weaker dollar, saber rattling over Iran's nuclear program and ongoing tensions in Nigeria, which one London trader said was the dominant factor driving gold's move Friday.
Meanwhile, the dollar has fallen even further against the euro Friday, lending another pillar of support to gold as U.S. stocks sank on concerns about U.S. mortgage giants Freddie and Fannie's prospects.
Spot gold gathered renewed momentum Friday afternoon in London as the U.S. opened, fueled by a break of key technical levels between $945 and $955, which has attracted a fresh round of buying, said analyst Tom Kendall of Mitsubishi Corp.Inflation concerns are supporting gold's move with a growing view that the weak European economy means the ECB won't be able to raise rates again this year. "This is bullish for gold in that inflation is rising but central banks can't do anything about it," he said. Commodity prices are rising globally, and not just in U.S. dollar terms, but in terms of most other currencies, suggesting momentum is geared towards higher prices said analyst Dennis Gartman of industry newsletter, TheGartmanLetter.
Spot gold is breaking through key resistance in euro terms around EUR600 a troy ounce, after bouncing from "formidable" support at EUR550, he noted.
Sentiment has clearly improved towards gold over the past twenty-four hours which has helped silver and probably platinum too, said analyst John Reade of UBS.
Now that resistance at $948 a troy ounce has broken, spot gold targets $984/oz, he said.
Still, the market is "already pretty long and external drivers (specifically the dollar, oil and systemic risk fears) will need to be cooperative for this to occur," he warned.
-By Melanie Burton, Dow Jones Newswires; +44 (0)20 7842 9412; melanie.burton@dowjones.com
Labels: nick fleming, nvf-investments.com, tda-6, tesoro del alma
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8:58 AM
