Where Is Gold Going In This Market

[midas]

But will there be Gold coins?

[Thailand Bound]

It really does not look good for the Gold...

The Gold Coast has replaced the outer south-west Sydney regions of Fairfield and Liverpool as having the highest proportion of home owners more than a month behind on their mortgage repayments.

The Gold Coast east market (including Surfers Paradise and Broadbeach) ranks as the worst-performing region, with a delinquency rate of 2.44%. The Gold Coast west (suburbs including Nerangand Carrara) ranked second, with a delinquency rate of 2.08%, according to the latest Fitch Ratings Australian Mortgage Delinquency report for the six months to September 2012.

The two markets ranked fifth and sixth in the March 2012 Fitch report have improved in line with the national trend, but not at the same pace as other regions.

At its current delinquency rate, the Gold Coast east region would have ranked as the eighth worst performing region in Australia six months ago (March 2012 report)

.

But demonstrating that tourism-dependent regions have not benefited to the same degree as other parts of the country from interest rate reductions and improved affordability, the Sunshine Coast ranked fourth most delinquent region with a 30 days-plus arrears rate of 1.89%. The NSW central coast market ranked sixth, with a delinquency rate of 1.81%.

All are well above the national delinquency rate, which improved from 1.6% at the end of March 2012 to 1.4% at the end of September, to be currently significantly below the five-year average of 1.56%.

“Tourist areas are less affected by monetary policy and more by the high Australian dollar, housing prices, occupancy rates and rental yields,” says Fitch.

“This is evident in popular tourist destinations being among the worst-performing postcodes. “

On a postcode basis, the well-known tourist destination of Nelson Bay in the NSW Hunter region remains the worst-performing postcode by value of mortgages in arrears, with a 30+ day delinquency rate of 6.6%.

In the previous March survey, Fairfield and Liverpool ranked as the worst-performing region in Australia, but in line with an improving outlook for the western Sydney market and parts of it being considered investment hotspots – granny flat conversions are growing increasingly prevalent– its delinquency rate improved from 2.82% to 1.82% and its ranking has fallen from first to fifth most delinquent market.

Similarly, the delinquency rate improved noticeably in the outer south-west Sydney region from 2.78% to 1.99% between March and September.

Another region on the western outskirts of Sydney, Blacktown, which was among the 10 worst-performing regions by value until September 2011, “continues to perform remarkably”, says Fitch, with a delinquency rate of 1.55% at the end of September 2012.

Fitch notes that most of the 10 worst-performing regions were in Queensland, not NSW, as was the case in March 2012.

“House price stagnation in Queensland particularly affected Gold Coast east − which has been among the worst performing regions since September 2008 − and the Sunshine Coast. Other regions in Queensland, which have been historically characterised by serviceability constraints, remained among the worst performing regions despite their remarkable improvement following cash-rate cuts.

“For example, delinquencies in Ipswich and Logan City, which started to increase at the beginning of 2011, have improved significantly (100bp and 91bp, respectively) in the six months end-September 2012,” says Fitch.

Edited February 7, 2013 by Thailand Bound

[mccw]

Watch this http://bloom.bg/UFV6ZI

What Stands Out in Metals?

Feb. 7 (Bloomberg) -- RJO Futures Senior Commodities Broker Phillip Streible talks about the price of platinum and precious metals. He speaks on Bloomberg Television's "Money Moves." (Source: Bloomberg)

[midas]

I bet there's an awful lot of people in Caracas, Venezuela this morning that wish they had a tonne of gold instead of that dreadful fiat stuff

Venezuela Devalues Bolivar 32% After Chavez Spending Spree.

http://mobile.bloomb...per-dollar.html

Paper is Poverty

http://www.youtube.com/watch?v=M5UqIc6z8iE

Edited February 9, 2013 by midas

[Naam]

I bet there's an awful lot of people in Caracas, Venezuela this morning that wish they had a tonne of gold instead of that dreadful fiat stuff

Venezuela Devalues Bolivar 32% After Chavez Spending Spree.

Paper is Poverty

anybody in Caracas who can afford a ton of gold or a reasonable amount of gold will only own an insignificant amount of "that dreadful fiat stuff" and has his "valuable stuff" stashed in Miami, Panama or Montevideo.

[midas]

they waited for this before the devaluation

Venezuela Receives Last Shipment of Repatriated Gold Bars

http://www.bloomberg...ld-bars-1-.html

Edited February 9, 2013 by midas

[Thailand Bound]

they waited for this before the devaluation

Venezuela Receives Last Shipment of Repatriated Gold Bars

http://www.bloomberg...ld-bars-1-.html

It may take a while for the US to send the Germans their gold.

[midas]

they waited for this before the devaluation

Venezuela Receives Last Shipment of Repatriated Gold Bars

http://www.bloomberg...ld-bars-1-.html

It may take a while for the US to send the Germans their gold.

Seven years is a long time when the world financial system seems to be lurching from month to month. I would be willing to bet gold ( not fiat

) they will never get it all back.

here's the quote that reveals the ultimate, backstop reason for the move: Bundesbank stated it is a "pre-emptive" measure "in case of a currency crisis."

Germany's central bank thinks a currency crisis is really possible. That's a very sobering fact.

We agree, of course: history is very clear on this. No fiat currency has lasted forever. Eventually they all fail. Whether the dollar goes to zero or merely becomes a second-class currency in the global arena, the root cause for failure is universal and inevitable: continual and perpetual dilution of the currency.

http://www.caseyrese...apital-controls

Edited February 9, 2013 by midas

[Naam]

It may take a while for the US to send the Germans their gold.

does it affect any of us expats where Germany stores its gold?

[midas]

As stock markets saw the biggest drop of 2013 and gold did ok …..is this what all of us can expect in due course ?

Argentina tries freezing prices to break 30 percent annual inflation spiral

Argentina announced a two-month price freeze on supermarket products Monday in an effort to stop spiraling inflation.

The price freeze applies to every product in all of the nation’s largest supermarkets — a group including Walmart, Carrefour, Coto, Jumbo, Disco and other large chains. The companies’ trade group, representing 70 percent of the Argentine supermarket sector, reached the accord with Commerce Secretary Guillermo Moreno, the government’s news agency Telam reported.

http://www.washingto...18d2_story.html

I wonder if Argentina is the next in line for devaluation ?

Official rate 5 pesos per USD; informal rate 7.65 pesos per dollar.

http://www.ambito.co.../monedas/dolar/

Argentina's President is a strong follower of Chávez and went to visit him in Cuba.

She'll follow his lead ... he paved the way for her.

Edited February 9, 2013 by midas

[Thailand Bound]

It may take a while for the US to send the Germans their gold.

does it affect any of us expats where Germany stores its gold?

No but the storage deal was made back during the cold war whne Germany was afraid they could get invaded and those kniving Russkies were to swoop in and plunder their gold. So they stored most in the US and some in France. So what if the US has sold off some of this gold which is part of the reasom the Germans want it repatriated, fair enough. So let's say the US did sell off some of Germany's gold then how much USD is the printing presses going to have print to replace that gold? How much with the USD fall due to more almost worthless currency being printed and flooding the market. In that case it could have a very real affect on the US citizens.

[midas]

Of course, should Argentina devalue its currency, unfortunately, the citizens are stuffed when it comes to their ability to protect themselves by owning gold

Remember those debates about gold being a currency or not? Well, that debate is settled for the Argentine government: Yes, it is a currency. No, you cannot buy it unless you travel to a country that uses it. You may be wondering “But no country uses gold as currency….” Ok, so you cant buy it then. Genius.

This is how they explain the new ban, given that after the USD ban people ran to gold to protect themselves, the sale of gold going up 400%. Little by little, they have closed all loopholes and windows.

http://www.themodernsurvivalist.com/archives/2350

[midas]

I bet there's an awful lot of people in Caracas, Venezuela this morning that wish they had a tonne of gold instead of that dreadful fiat stuff

Venezuela Devalues Bolivar 32% After Chavez Spending Spree.

Paper is Poverty

anybody in Caracas who can afford a ton of gold or a reasonable amount of gold will only own an insignificant amount of "that dreadful fiat stuff" and has his "valuable stuff" stashed in Miami, Panama or Montevideo.

only if they planned for this 10 years ago !!

Currency exchange controls were established in Venezuela in February 2003.

http://infosurhoy.com/cocoon/saii/xhtml/en_GB/features/saii/features/economy/2011/09/26/feature-01

[Naam]

Chavez made it even easy for the wealthy ones to own foreign currency abroad by issuing government bonds denominated in USD but sold at a premium when purchased using Bolivar. but you are not to blame for not knowing what an investor like me knows who invests in Venezuela assets since more than 20 years.

Legally, people play the parallel market by buying Venezuelan government and PDVSA bonds that can be traded in either bolivars or dollars. They buy them in one currency and sell them in the other. The ratio of market prices for the bonds in each currency works out to an implicit exchange rate — if a $1000 bond sells for $500 in New York and 500 bolivars in Caracas, that means the implicit exchange rate is 1:1. If it sells for $500 in New York and 5000 bolivars in Caracas, the implicit exchange rate is 10:1. Got it? Quiz in the morning…

edited for addendum: the recent "devaluation" does not even match the rate which prevails since several years at Venezuela's parallel market USD VEF of which everybody, except the very poor, are aware.

Edited February 9, 2013 by Naam

[muchogra]

Does fiat money mean the money that we spend everyday? I think that's it!

The day that I can't spend that money, I think I would have long kicked the bucket. Hitherto, it's an academic topic which no one would care! But, you can talk to your heart content for there ai't one who appreciates but there's always hope that some may rememer you after you kick the bucket after decades.

Now, where is gold going?

I have been going short, long observig the stops. Right now, I have a few short going which I'll materialize early next week at a profit.

To the gold bugs: Is there a chance that gold may go below B1,600...and then...!

Me, play safe and no commitment for my cmmitment had just passed the time!

[Jayman]

http://www.bloomberg...buys-world.html

Putin Turns Black Gold Into Bullion as Russia Out-Buys World

When Vladimir Putin says the U.S. is endangering the global economy by abusing its dollar monopoly, he’s not just talking. He’s betting on it.

Not only has Putin made Russia the world’s largest oil producer, he’s also made it the biggest gold buyer. His central bank has added 570 metric tons of the metal in the past decade, a quarter more than runner-up China, according to IMF data compiled by Bloomberg. The added gold is also almost triple the weight of the Statue of Liberty.

Enlarge image

Russia's Prime Minister Vladimir Putin, center, holds a gold bar while visiting the Central Depository of the Bank of Russia. Photographer: Alexsey Druginyn/AFP/Getty Images

“The more gold a country has, the more sovereignty it will have if there’s a cataclysm with the dollar, the euro, the pound or any other reserve currency,” Evgeny Fedorov, a lawmaker for Putin’s United Russia party in the lower house of parliament, said in a telephone interview in Moscow.

Edited February 11, 2013 by Jayman

[midas]

http://www.bloomberg...buys-world.html

Putin Turns Black Gold Into Bullion as Russia Out-Buys World

When Vladimir Putin says the U.S. is endangering the global economy by abusing its dollar monopoly, he’s not just talking. He’s betting on it.

Not only has Putin made Russia the world’s largest oil producer, he’s also made it the biggest gold buyer. His central bank has added 570 metric tons of the metal in the past decade, a quarter more than runner-up China, according to IMF data compiled by Bloomberg. The added gold is also almost triple the weight of the Statue of Liberty.

Enlarge image

Russia's Prime Minister Vladimir Putin, center, holds a gold bar while visiting the Central Depository of the Bank of Russia. Photographer: Alexsey Druginyn/AFP/Getty Images

“The more gold a country has, the more sovereignty it will have if there’s a cataclysm with the dollar, the euro, the pound or any other reserve currency,” Evgeny Fedorov, a lawmaker for Putin’s United Russia party in the lower house of parliament, said in a telephone interview in Moscow.

[Naam]

Russia has come a long way since its selective default in 1998 and Putin taking over a near bankrupt country from Yeltsin on New Year's Eve 1999. i still remember when Reuters reported "Russia's reserves reached 10 billion US-Dollars". today its reserves in convertible foreign currencies are 471 billion!

in Putin's favour was of course that the price of crude jumped from $12/barrel in 1999 to unseen heights.

[midas]

To the Honourable President and members of the Senate in Parliament assembled:

February 02, 2013

The petition of the undersigned shows:

That in the increasingly uncertain global financial circumstances, Australians are very concerned about the impacts on the Commonwealth of Australia and the counter-party risks associated with holding national assets in financially distressed countries like the UK that have an increasingly negative credit rating outlook. We are concerned that the progressively loose monetary policies of foreign Central Banks, such as Zero Interest Rate Policies and Quantitative Easing are debasing their national currencies......

Your petitioners ask that the Senate:

Minimise the risks and impacts that a global currency crisis or similar event would have on our nation by establishing initiatives for the Commonwealth of Australia to:

a) Reinstate gold as a reserve asset for the Australian banking system;

Repatriate its gold reserves from London back to Australia to be held on Australian soil; and

c) Begin an ongoing program of accumulating gold reserves, considering the efficiency of collecting taxes payable from precious metal mining companies in the refined metals they extract as a means of continually adding to those reserves.

http://www.petitionb...ions/aussiegold

Edited February 11, 2013 by midas

[midas]

Now it looks like it's a tossup between Argentina and Egypt as to who could devalue their currencies next!

http://www.reuters.c...N0BA2EZ20130210

( PS anyone who previously had any doubts that there were such a thing as currency Wars I think over the next few weeks and months may be tempted to reconsider their opinions?

)

Edited February 11, 2013 by midas

[cheeryble]

I'm sure the solution is for all countries to devalue by the same amount simultaneously.....

Edited February 11, 2013 by cheeryble

[midas]

I'm sure the solution is for all countries to devalue by the same amount simultaneously.....

Good luck with that one!

[Jayman]

I'm sure the solution is for all countries to devalue by the same amount simultaneously.....

Good luck with that one!

Exactly

Sent from my GT-I9100T

[Naam]

Now it looks like it's a tossup between Argentina and Egypt as to who could devalue their currencies next!

http://www.reuters.c...N0BA2EZ20130210

( PS anyone who previously had any doubts that there were such a thing as currency Wars I think over the next few weeks and months may be tempted to reconsider their opinions?

)

the diction "war" is used by gloom&doomer masters to bullsh.. and scare their ignorant followers. why anybody should be scared, worried or bothered if e.g. the Argentine Peso loses more of its value after it lost nearly 70% during the last 4 years is beyond the grasp of informed investors.

the latter also do not care whether a Dollar buys 7, 10 or 20 Egyptian Pounds even if they intend to visit the pyramids

here's USD ARS:

[churchill]

This from another board ... but often quoted cyclist ..

'For those that don't know, Cyclist was some what of a legend on other boards. He made some great calls but like the rest was not always right in my opinion. People would hang on his every word until he eventually went underground. Some still have limited access through other blogs and have shared this. FWIW:

The latest from Cyclist:

"The longer play is still favoring gold physical till 2016. The hardest hit will be felt in the bond market within the next three month with the crisis period sitting between May 21 and June 24. Within these 2 months the capital markets as we know it will disappear. The stock markets will hit their first bump the coming 2 weeks and will hit the second one around march 28 with the final one 23rd of May with a rebound into June 18 ,after it will be a straight decline into September.

In summary the bond market is the finger to watch as the hit will be instantaneous while gold will run."

and

"Energy is projected to peak in June with gold while the general markets are in decline one month prior. The Nasdaq might have already topped out in the 4th week of March. Cycles are giving the metals a strong uplift from the third week of February. Copper will signal first with the general markets the highs."

OK Naam could be made up crap ..

but with markets and currency wars being discussed in russia at the G20 .. the Gold bears must be sweating as much as the bulls at this stage .. Russia is a know buyer http://mobile.bloomberg.com/news/2013-02-10/putin-turns-black-gold-into-bullion-as-russia-out-buys-world.html

and China ...

http://www.moneymorning.com.au/20130211/how-much-gold-does-china-really-have.html

as Australia begins the debate whether to bring Gold home from the UK .......

[Naam]

OK Naam could be made up crap ..

cyclist is talking crap Churchill. TV-member "Flying" who was an avid cyclist reader gave me last year some of cyclist's prophecies. they all turned out to be crap²

[Naam]

as Australia begins the debate whether to bring Gold home from the UK .......

which does not exist because either the Bilderbergs "stoled" it, or leased out, rehypothecated, vanished into thin air, used to finance the Viet Nam war, melted away because of global warming, given as alms to a Malaysian islamic state to mint Islamic Dinars... take your pick.

to be on the safe side consult Max Keiser and have his findings reconfirmed by the Right Honourable Master Gloom&Doomer M. I. Das.

[churchill]

OK Naam could be made up crap ..

cyclist is talking crap Churchill. TV-member "Flying" who was an avid cyclist reader gave me last year some of cyclist's prophecies. they all turned out to be crap²

Not all .... i remember Flying was quite accurate at times predicting Gold's moves ...

& What with Solar storms in May etc Don't panic ... ! who knows

Lets see shall we , at least he is trying to give a forward view rather than your backward view

BTW Where is Flying .. ?

[churchill]

as Australia begins the debate whether to bring Gold home from the UK .......

which does not exist because either the Bilderbergs "stoled" it, or leased out, rehypothecated, vanished into thin air, used to finance the Viet Nam war, melted away because of global warming, given as alms to a Malaysian islamic state to mint Islamic Dinars... take your pick.

to be on the safe side consult Max Keiser and have his findings reconfirmed by the Right Honourable Master Gloom&Doomer M. I. Das.

Be on the safe side bring it home ... as the Germans are trying to do .

[Naam]

The hardest hit will be felt in the bond market within the next three month with the crisis period sitting between May 21 and June 24. Within these 2 months the capital markets as we know it will disappear.