Gold Today –New York closed at $1,304.20 Friday after the previous close of $1,302.90 London opened at $1,288.00.
- The $: € was slightly weaker at $1.1073: €1 from $1.1099: €1 Friday.
- The Dollar index was slightly stronger at 97.54 from 97.26 Friday.
- The Yen was weaker at 104.46: $1 from Friday’s 103.29 against the dollar.
- The Yuan was weaker at 6.7745: $1 from 6.7619: $1 Friday.
- The Pound Sterling was weaker at $1.2446: £1 from Friday’s $1.2457 £1.
Yuan Gold Fix
|Trade Date||Contract||Benchmark Price AM 1 gm||Benchmark Price PM 1 gm|
| 2016 11 7
2016 10 4
2016 10 3
|$ equivalent 1 oz @ $1: 6.7745
Please note that the Shanghai Fixes are for 1 gm of gold. From the Middle Eat eastward metric measurements are used against 0.9999 quality gold. [Please note that the 0.5% difference in price can be accounted for by the higher quality of Shanghai’s gold on which their gold price is based over London’s ‘good delivery’ standard of 0.995.]
Shanghai closed lower than New York and London moved in line with Shanghai to take the gold price lower than the close in New York. London followed through on the back of Shanghai well before London’s opening [after market dealings, without the benefit of all the players, makes such prices volatile and unreliable].
The dollar has strengthened slightly on the back of Mrs. Clinton’s e-mails being found not criminal.
LBMA price setting: The LBMA gold price setting was at $1,286.80 against Friday’s $1,301.70. The gold price in the euro was set higher at €1,162.95 against Friday’s €1,172.70.
Ahead of the opening of New York the gold price was trading at $1,288.30 and in the euro at €1,164.72. At the same time, the silver price was trading at $18.17.
Silver Today –The silver price rose to $18.39 at New York’s close Friday from $18.34, Thursday.
We see the price changes after Shanghai’s close as being dealers marking prices down without much physical dealing going on. The strength of the dollar today before London opened was seen as the reason gold prices were lowered. And the strong dollar was attributed to the conclusion that Mrs. Clinton is going to be the next U.S. President. In two days time we should know! Of course, if Trump wins, the action last Friday confirms that the gold price will sprint higher taking silver with it.
With over 41 million votes already cast before the FBI’s exoneration of Mrs Clinton we don’t know if this will change voters’ minds sufficiently to give the Democrats a win?
For the gold community a Clinton win emasculates the U.S. government as it has done for so long already preventing all the measure possible being taken to enable a convincing U.S. economic recovery. i.e. more of the same for the next four years. The gold price will continue to climb slowly until the next financial crisis which is sitting on the horizon already.
A Trump victory empowers the Republicans to get the job done Trump’s way. To gold this means the price will rise strongly from now on and the government in Washington being shaken up from the top as a demagogue takes power. It will stay on the uptrend and see the monetary world badly shaken and changed drastically in the near future.
China will bring major changes about in pricing power as we are seeing start today as Shanghai dominates the gold price.
Gold ETFs – There were no purchases or sales of gold into or from the SPDR gold ETF or the Gold Trust Friday, leaving their respective holdings at 949.688 tonnes and 230.99 tonnes.
Since January 4th this year, the holdings of these two gold ETFs have risen by 379.669 tonnes.
Silver – Silver continues to pause, waiting for gold to break resistance around $1,320 and higher.
Julian D.W. Phillips