Fed interest rate hike expected to push down gold prices

[webfact]

Fed interest rate hike expected to push down gold prices



BANGKOK, 15 December 2015 (NNT) - The Gold Traders Association (GTA) says the US Federal Reserve's interest rate hike this month will cause a drop in gold prices.

GTA President Jitti Tangsitpakdi cited gold prices on Tuesday morning, which plummeted by 50 baht to 18,250 baht per baht weight, slightly buoyed by currency inflation.

He pointed out other negative factors, like the supply glut of oil that has depressed global oil prices and the worldwide economic slowdown.

Mr. Jitti forecast that global gold prices will fall somewhere between 1,060 and 1,200 US dollars per ounce, while domestic prices will be between 17,500 and 20,500 baht per baht weight, provided that the Thai currency holds at 36 baht per dollar. Therefore, he also expects most gold buying to be short-term investments.


-- NNT 2015-12-15

[elgordo38]

Therefore, he also expects most gold buying to be short-term investments. ?????? Really and the alternative funny money will soar?. Give me a break. It has become apparent to me that in government circles, banking circles, there is a real effort to talk gold down further to tarnish it and thus keep our attention on funny money. The Chinese are increasing gold purchases can they be wrong. Gold vs the Yankee greenback? While all this propaganda has got us scratching our heads Central Bankers etc. are backing up the trucks. Look at gold/silver coin sales by mints they can hardly keep up with production. All this funny paper gold in circulation is also skewering the market. Its backed up from what I have heard 1 ounce of pure gold to 300 ounces of paper. Governments are partnering in these ripoffs and distorting the market. Do you think the Fed wants gold as an alternative to their so called "Federal Reserve Currency" Does it still read " In The Fed We Trust" The feathers will fly when the chickens come home to roost.

Edited December 15, 2015 by elgordo38

[BuaBS]

Any news is reason to push the Gold price down , the last 4 years.

December is nearly always a month that the Gold price is hammered , this year aided by the "rate hike" excuse. 30 & 31 dec will be options expiring & delivering days , end of year , half year & trimester, the lowest price of the year , and the best time to buy if you have some extra money you don't need and want to keep out of the stealing bankers hands.

[Airalee]

*Plummeted* 50 baht.

Haha

[Srikcir]

Bank of America Merrill Lynch said it expected the gold price to hit $950 an ounce in the early months of next year, before recovery. That would be the lowest price since about 2008. Might be a good break point.

[Snackbar]

0.2% plumbum.

[IAMHERE]

$950 would be about 16700 per baht of gold ?

[IMA_FARANG]

As I always say o "Gold Bugs"..... how many calories in an ounce of Gold?

'

[ParadiseLost]

I have been waiting a long time for gold to fall below $1000 an ounce... I sold my 'haul' in 2012 at $1,750 and kept USD instead.

Even though I have earned less than $10 interest since, I am still far better off for selling. Not one to try and 'play' the market I rather wait to go long again, 950 being the price I set 3 years ago. Either that or change to Yuan as I can see that being manipulated mercilessly in China's favor soon...

The Thai gold pricing is just like everything else here - it is designed to confuse and has no basis in reality. I hoped some day there may be a sudden swing in exchange rate, at the same time as a gold price change which may lead to a good buying opportunity, but then I realised that would be like trying to take money from a career criminal, don't bother...

[Goldieinkathu]

"The Thai gold pricing is just like everything else here - it is designed to confuse and has no basis in reality."

[ggt]

Gold has been a preferred store of wealth for centuries...when the economic/financial house of cards collapses...gold will soar...paper money is already almost worthless...governments keep printing more to pay off unsustainable debt...gold will win in the end...