Gold has made a short term move over $1,575 which is greater than the 20 day moving average a key level for many watching the yellow metal.
The Gold price and the share prices of gold miners have been under heavy pressure, with miners in a deep, deep funk. Let’s discuss.
China, the Fed, the Bank of Japan and the European Central Bank all gave reasons to ask Santa for gold this Christmas, and possibly gold miners for the brave souls who have been good this year.
Recent developments in the United States, Europe and Japan point to monetary easing on a global basis being around for quite some time. Gold Fields (GFI, quote) offers shareholders protection against the adverse effects of central bankers debasing fiat currencies along with a strong dividend yield.
While the South African JSE (Johannesburg Stock Exchange) hit a record high in recent market action, there could be greater gains ahead for South Africa stock after November’s American presidential election.
Gold has been volatile lately as global economic issues and a strong dollar compete to set direction in the metal.
All asset classes have been moving together in unusually high correlations since August, but traders can still beat the market if they pick the right names and avoid the laggards. We talk about why this is especially true in emerging markets today on Trading the Globe.
Futures markets and currencies are welcoming news on Sunday of approval for further austerity measures in the Greek parliament. The news could support the markets but earnings will still dominate over the next week.
President Humala has declared a state of emergency in the northern part of Peru as talks with protesters have broken down. The army and police will have additional powers for 60 days, including the right to arrest without a warrant in four states within the Cajamarca region.
For much of the last decade, rising commodities prices have boosted the economies of the emerging markets, attracting investment and jobs and allowing those countries begin growing their own middle-class consumers.