Can gold regain its luster?
Precious medal's prices slid sharply in May
- Duration 6:14
- Date Jun 1, 2012
Precious medal's prices slid sharply in May
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Gold prices seemed to take a big thing this month and today and the month we haven't called expert and we have to what's Darrow obviously with us on the status multi decade -- but -- don't want to thank you so much for being here and and I thank you for having me -- of course you you've seen.
New day so it may go away really worked for -- because were down 6% this month to -- may 31.
Last day of the month my birthday I'll have enough that I -- development and tomorrow its first notice day so that means that anybody holding June gold contracts have to be -- -- to write more tomorrow.
They're going to have to be clear intentions to maker take delivery and put up full money.
-- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- Is is this a temporary thing what can we expect -- forward that that that's a wonderful question.
And we -- range -- probably until June 17.
When these are Greek vote comes in and that will see the Greeks again everything is great -- yes -- years slipping increase.
But that's the fact that so when you -- range bound which which are well one of the tournament we we were talking about between say 15251535.
-- base and support area technically and his 16100.
Our break out upside and resistance point that we've been in this for awhile now.
It seems that too good to gold is resilient because what it does fall.
There are buyers.
And the buyers stepped in because they're hedging.
There loss of purchasing power and other currencies.
Euro turns to gold it's now become more expensive obviously them.
As the Euro hit a two year bottom today -- it was 123 and change.
Having your thoughts here and I think gold is going to do better later because stimulus.
Will come and I'm pro hormone and or -- exactly what you that states they -- a stroke I don't want to bring it and now.
To be an icon from the house of common state fearless and Chicago's two joins -- -- -- -- thank you very much to be an -- You run -- estate jewelry store what what what sort of buying and selling are you seeing annual shop.
I think we are -- champion here.
You know we did in the last couple days there has been some spikes in gold and when that happens.
People are coming in to bring in their tools to south.
And you know we're paying a very large stars keep in -- everybody always needs money went into dollars -- the same as it was yesterday that's for another story.
But we are busy in here.
So it's it Sabrina -- when the price falls -- you seeing people did the opposite which is coming and buying jewelry.
Well -- -- that it's a very interesting question because in the last month we have clients increase in France and Italy and Portugal and -- Spain and asking me and you know the number one question at first I thought it was a joke is that how many gold you know how much gold -- turn it into my suitcase.
And I'm not cheat well I guess it depends on how -- -- UK it's.
You know it -- there are some serious.
No to that because.
They are not putting money into the banks they are very scared of the banks there and they're looking to purchase -- with it.
Then Clinton -- -- are we seeing that on the other side of the market with with points and Boston style well it's different yeah that is very different because for example.
Last month and India.
Were on strike against gold because of attacks that the government had levied on goal.
Now that didn't mean that the jewelry shops closed it meant that they were doing of the business such as.
Silver platinum and palladium means that -- buying gold as they -- or selling gold because it means that while the public wasn't.
Then -- also weren't buying gold.
So it is that did -- a a global impact on gold prices yes it does temporarily.
Because of course the strike was over and and the dealers went back and -- of course India.
The exchange in India does business in gold and India -- -- The exchange does a very nice business and Q -- bars them so -- kilogram that's what calculus 32 ounces by the way during the Great Depression.
One kilo gold what you -- -- -- Plymouth today does exactly the same thing.
So while you're talking about the gold price being down 6% this month it's really up from January quite a bit from thirteen hundred.
Some current and around 19100.
In September of last year.
Well what about you around -- -- what you see -- a year around our -- are you really can't predict.
Buren big -- that we -- -- -- I wish I did however you can't predict here and because you can predict.
What may happen what sort of stimulus.
Will be coming on two continents.
One to prop up Euro one of course are our weak numbers.
Today you had that PMI you had ATP.
You've had weakness and and recovery.
You've had a very weak stock market obviously heard about them from said the speaker earlier.
And so to make a long story short.
The purchasing power of the public is lesser than it -- but the purchasing power.
People in other countries trying to hedge.
Crises is getting -- on that time ago let's get a final word from -- an -- -- -- -- house of commons thank you with Sabrina Watson are out looking optimistic political price.
Very optimistic on I believe.
That would create trillions of dollars that the government is going to -- in Europe and here in America gold is going to go up this guy is the ligament in my opinion.