Kitco News
(Kitco News) – Caledonia said earnings per share will be revised up from 86 cents to $1.17 per share. The new estimate is between $1.55 to $1.75 per share.
The post Caledonia Mining raises guidance, stock jumps appeared first on WorldSilverNews.
Kitco News
(Kitco News) – Total ounces produced last year was 480,529 with an all-in-sustaining cost of $792 per ounce sold.
The post Centamin to spend $37 million on solar power appeared first on WorldSilverNews.
“”silver price”” – Google News
Are Silver Prices Being Affected By Market Manipulation? ETF Daily News
The post Are Silver Prices Being Affected By Market Manipulation? – ETF Daily News appeared first on WorldSilverNews.
Kitco News
(Kitco News) – Gold and silver prices are solidly higher in midday U.S. futures trading Thursday, on safe-haven demand.
The post Gold, silver see solid gains as coronavirus scare intensifies appeared first on WorldSilverNews.
Historically there is an established pattern of credit extension, during which the Dow benefits proportionally more than Silver prices do. Once the Dow’s rally has run its course, Silver prices catch up while the Dow corrects or goes sideways.
Hubert Moolman
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Professional Advisor/Charlie Morris-Atlantic House Fund Management/1-29-2020
“Gold remains the best-performing mainstream asset of the 21st century, yet investors own a mere 82 million ounces (worth $128bn) between them via the exchange traded funds. That might sound like a substantial holding, but it is not. With global exchange traded funds worth over $5trn, the implication is that the average portfolio has a mere 2% allocation to gold. Academic studies range in their conclusions, but they all suggest the optimised allocation should be greater than zero. I have often felt that 8% makes sense for a balanced portfolio and 15% to 25% for an all-weather total return fund.”
USAGOLD note: Charlie Morris’ study linked above is highly recommended. In it he makes the same point we did in Gold’s Century: While stocks dominated headlines, gold quietly performed.
From that study:
“The question becomes whether or not an investment that has performed so well in the past is likely to perform equally well in the future. Though nothing in the world of finance and economics is certain, we rest the bullish case for gold on the understanding that none of the economic and financial system problems that created a positive price environment for gold over the last nearly nineteen years have been removed from consideration. In fact, a case could be made that they have only intensified – and dangerously so”
MarketWatch/Sam Bell/1-29-2020
“The Wall Street Journal editorial board has encouraged Trump to think of Shelton as a chair-in-waiting. But Bloomberg News reports that Shelton ‘would,’ if confirmed [as a governor], represent a potential chair-in-waiting. One administration official familiar with the matter told Bloomberg in July that’s an option once Powell’s term expires, or even before.”
USAGOLD note: This article mentions Nobel laureate Robert Mundell (Columbia University) – often referred to as the ” intellectual godfather of the euro” – as her mentor. Mundell to my recollection never advocated the gold standard per se, but instead, the use of gold as a reserve asset marked to market on central bank balance sheets. There is a distinct difference between the two approaches. The mark-to-market regime allows the central bank to use gold as a hedge against currency depreciation, but does not obligate it to stay within the confines of a fixed gold standard. The gold standard, on the other hand, values the currency as a specified, fixed weight of gold and this seems to be what Judy Shelton has advocated in the past. It would be interesting to ask her about this distinction and see where she stands now. Up until I read this article, I was not aware that she viewed Mundell as her mentor.
Total fourth quarter (Q4) demand fell 19% y-o-y to 1,045.2 tons. Two main contributors to the drop were jewelry and physical bar demand, both of which reacted to the elevated gold price. In US dollar value terms, the decline in Q4 demand was much shallower – down just 3% to US $49.7 billion.
Inflows into global gold-backed ETFs and similar products pushed total holdings to a record year-end total of 2,885.5 tons. Holdings grew by 401.1 tons over the year, with 26.8 tons added in Q4. Inflows were heavily concentrated in Q3 as the US dollar gold price rallied to a six-year high.
Central banks were net buyers for a 10th consecutive year: global reserves grew by 650.3 tons, the second highest annual total for 50 years. Purchasing in Q4 of 109.6 tons was 34% lower y-o-y, although this was partly a reflection of the huge scale of gold buying in 2018.
China and India held sway over global consumer demand. Together, the two gold consuming giants accounted for 80% of the y-o-y decline in Q4 jewelry and retail investment demand. High gold prices and a softer economic environment were the main culprits.
Total annual gold supply edged up 2% to 4,776.1 tons. An 11% jump in recycling was the main reason for the increase, as consumers capitalized on the sharp rise in the gold price in the second half of the year. Annual mine production was marginally lower at 3,463.7 tons – the first annual decline for more than 10 years.
The gold price averaged US $1,481/oz in Q4. This was the highest average price since Q1 2013. Although the price remained below the Q3 high, it was well supported. And gold priced in various currencies – including euros, Indian rupees and Turkish lira – hit their highest levels in history.
