GC=F - Gold Aug 19

COMEX - COMEX Delayed Price. Currency in USD
1,440.50
+12.40 (+0.87%)
As of 4:09AM EDT. Market open.
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Pre. SettlementN/A
Settlement Date2019-08-28
Open1,448.30
Bid1,440.70
Last Price1,428.10
Day's Range1,437.70 - 1,454.40
Volume132,744
Ask1,440.80
  • The Gold Rush Heats Up as Sub-Zero Yields Spread
    Bloomberg4 hours ago

    The Gold Rush Heats Up as Sub-Zero Yields Spread

    (Bloomberg) -- Gold, once mocked for its lack of yield and practical use, offers something the growing pile of negative-yielding bonds doesn’t -- inflation protection. Plus, it makes a great doorstop.As holders of promissory notes issued by sovereigns and companies watch the real value of their savings drain away amid central bankers’ efforts to kick-start growth, the allure of one of the oldest investment assets has become ever stronger. These five charts show just how popular gold has become -- and how closely it’s linked to the downward spiral in yields.The BreakthroughFor five years, resistance above $1,350 an ounce was too much for bullion to overcome. That changed in June, as it became clear the Federal Reserve was heading for a round of interest-rate cuts. Spot prices touched $1,453.09 on Friday, the highest level since May 2013 as global factory output slows and the market debates whether Chairman Jerome Powell will cut rates by as much as 50 basis points in July.Really YieldingGold’s inflation-busting properties and low opportunity cost when interest rates drop have never been as important as now. The inverse relationship between bullion’s price and U.S. real rates expectations, as measured by the yield on five-year inflation-linked Treasuries, is the strongest it’s ever been. The correlation measured over 60 days hit -0.7 as bullion climbed.Below ZeroEven before accounting for the effects of inflation, the universe of bonds yielding less than nothing hit a record $13 trillion this month. Add in the corrosive effect of general price rises, and that number swells to $25 trillion. It could even top $30 trillion if the Fed cuts rates twice this year, according to data compiled by Bloomberg.Not ZeroOf course, gold doesn’t yield nothing -- it yields less than nothing. In fact, it’s probably the original negative-yielding asset. Storing gold in a vault costs money. Some firms in London, a city known as a gold-storage hub, charge private clients between 12 and 20 basis points of the value of the metal for a year’s storage in secure vaults. Big clients, like central banks, may be able to secure deals closer to 8 basis points. Similarly, holding metal in an exchange-traded fund costs money. Nevertheless, the amount of metal stored in high-security facilities registered with the London Bullion Market Association started rising in October and continued doing so through March, the last date for which data was available. That’s probably because even at -0.2%, it looks a better deal than many bonds.Not Done YetBut is the rally getting stretched? Maybe not. While hedge funds increased bullish bets on the precious metal, the aggregate long position on futures as a share of open interest is only about 36%. That’s still below the peaks of 2011, 2016 and 2017, suggesting there’s some room for prices to rise as money managers may allocate more to bullion. And while holdings in exchange-traded funds have risen this year, the total amount of bullion in funds still isn’t as high as it was at the end of 2012. And some, like Bridgewater Associates’ Ray Dalio, suggest the market may just be at the start of a period that will be very positive for gold.\--With assistance from Garfield Reynolds.To contact the reporters on this story: Eddie van der Walt in London at evanderwalt@bloomberg.net;Ranjeetha Pakiam in Singapore at rpakiam@bloomberg.netTo contact the editors responsible for this story: Kristine Aquino at kaquino1@bloomberg.net, Lynn ThomassonFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.

  • Investing.com7 hours ago

    Gold Prices Gained on Middle East Tension, Rate Cut Expectations

    Investing.com - Gold prices gained on Friday amid intensifying tension in the Middle East and rising expectations of aggressive Fed easing.

  • Bloomberg14 hours ago

    Eurasian Resources Weighs Sale of Congo Mining Assets

    (Bloomberg) -- Eurasian Resources Group Sarl, the mining firm backed by the Kazakhstan government, is exploring options for assets in the Democratic Republic of Congo including a potential sale, according to people with knowledge of the matter.China Nonferrous Metal Mining (Group) Co. is among companies interested in the assets, the people said, asking not to be identified as the information is private. Deliberations are at an early stage, and ERG could decide against a sale, they said.Bidders could value the company’s assets at $3 billion to $4 billion while the seller may be seeking $7 billion to $8 billion, the people said. Valuing the assets is difficult because of political risks in the region and volatile metal prices, among other reasons, they said.A representative for ERG declined to comment. China Nonferrous couldn’t be reached for comment.ERG, which mines copper and cobalt in DRC, has been reviewing its investments and has already sold assets valued at about $1 billion, according to its website. The company is a major producer of cobalt, a material used in rechargeable batteries powering iPhones and Tesla cars, though it’s had to grapple with a supply glut and declining prices. Congo produced 72% of the world’s supply of cobalt last year.Read more about cobalt mining in the DRC here.The firm is also developing large-scale investment projects in Central Asia and Africa with the Chinese government as part of the New Silk Road initiative, according to its website.China Nonferrous operates in more than 80 countries and regions globally. It produces so-called nonferrous metals, which contain little or no iron, such as copper, lead and gold. The company also invests in mining projects in Zambia, Mongolia, Myanmar, Thailand and DRC, according to its website.\--With assistance from William Clowes and Elena Mazneva.To contact the reporters on this story: Carol Zhong in Hong Kong at yzhong71@bloomberg.net;Vinicy Chan in Hong Kong at vchan91@bloomberg.net;Dinesh Nair in London at dnair5@bloomberg.netTo contact the editors responsible for this story: Fion Li at fli59@bloomberg.net, Amy ThomsonFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.

  • Investing.com17 hours ago

    Gold Picks up as Dollar Dips Again on Rate-Cut Hopes

    By Barani Krishnan

  • Bitcoin Bounce Capped by $10K Price Resistance
    Coindesk21 hours ago

    Bitcoin Bounce Capped by $10K Price Resistance

    Bitcoin's recovery from one-month lows looks to have stalled near $10,000 and may be short lived.

  • Investing.com22 hours ago

    Gold Prices Hit Intraday Lows After Positive U.S. Data

    Investing.com - Gold prices hit intraday lows on Thursday after a bout of better-than-expected U.S. data took some of the wind out of hopes for aggressive policy easing from the Federal Reserve.

  • Investing.comyesterday

    Oil Prices Rise; EIA Reports Larger-than-Expected Drop in U.S. Crude Inventories

    Investing.com - Oil prices rose on Thursday in Asia after data showing U.S. crude inventories fell more than expected last week.

  • Investing.comyesterday

    Gold Prices Inch Up on IMF Comments

    Investing.com - Gold prices inched up on Thursday in Asia after the IMF said the U.S. dollar is overvalued.

  • Lawmakers Amp Up Pressure on Facebook to Halt Libra Cryptocurrency Development
    Coindesk2 days ago

    Lawmakers Amp Up Pressure on Facebook to Halt Libra Cryptocurrency Development

    U.S. lawmakers repeatedly pressed Facebook's top blockchain exec to halt development of the Libra cryptocurrency in Tuesday's hearing.

  • Investing.com2 days ago

    Gold Jumps After IMF Says Dollar Overvalued

    By Barani Krishnan

  • Is Lena Gold-Mining Public Joint Stock Company Lenzoloto (MCX:LNZL) Investing Effectively In Its Business?
    Simply Wall St.2 days ago

    Is Lena Gold-Mining Public Joint Stock Company Lenzoloto (MCX:LNZL) Investing Effectively In Its Business?

    Today we are going to look at Lena Gold-Mining Public Joint Stock Company Lenzoloto (MCX:LNZL) to see whether it might...

  • Investing.com3 days ago

    Gold Dips Ahead of Trump’s Moves on Iran, China

    By Barani Krishnan

  • Investing.com3 days ago

    Oil Prices Drop as Trump Sees Lower Mideast Tensions

    By Barani Krishnan

  • Investing.com3 days ago

    Gold Prices Dip After Mixed Economic Data, Caution Over Long Positions

    Investing.com - Gold prices turned lower on Tuesday after a strong retail sales reading sparked buying interest in the U.S. dollar and pushed Treasury yields higher, although stagnating industrial production briefly undid some of the move, while analysts recommended caution given high levels of long positions.

  • Binance Eyes Launch of Crypto Exchange in South Korea
    Coindesk3 days ago

    Binance Eyes Launch of Crypto Exchange in South Korea

    Binance is "working with local partners" on the launch of a branch in South Korea, CEO Changpeng Zhao has reportedly said.

  • Investing.com3 days ago

    Oil Prices Steady as Facilities Resume Operations in U.S. Gulf

    Investing.com - Oil prices steadied on Tuesday in Asia as more production facilities resumed output in the U.S. Gulf after Tropical Storm Barry made landfall in Louisiana on Saturday.

  • Investing.com4 days ago

    Gold Fairly Steady in Final 2-Week Window to Fed Cut

    By Barani Krishnan

  • Investing.com4 days ago

    Gold Prices Edges Higher Despite Boost in Risk Appetite

    Investing.com - Gold prices headed higher on Monday as a boost in risk appetite from generally positive economic data was insufficient to derail demand in an environment marked by decreasing yields.

  • What Trump’s Bitcoin Tweet Changes
    Coindesk4 days ago

    What Trump’s Bitcoin Tweet Changes

    Donald Trump took aim at bitcoin last week. He also kicked off a whole new phase in bitcoin's mainstream moment.

  • Investing.com4 days ago

    Gold Prices Little Changed as China Growth Data Matches Expectations

    Investing.com - Gold prices were little changed on Monday in Asia after data showed China’s second-quarter growth data slowed to a 27-year low but matched expectations.

  • Below $10K: Bitcoin Price Drops $1.4K in 24 Hours to Hit 2-Week Low
    Coindesk4 days ago

    Below $10K: Bitcoin Price Drops $1.4K in 24 Hours to Hit 2-Week Low

    The cryptocurrency markets fell sharply on July 14 after bitcoin endured a $1400 sell-off, denying the bulls a chance to revisit 2019 highs.

  • Thomson Reuters StreetEvents7 days ago

    Edited Transcript of VGZ earnings conference call or presentation 8-May-19 8:30pm GMT

    Q1 2019 Vista Gold Corp Earnings Call

  • Investing.com7 days ago

    Gold Defies Strong PPI; Creeps up on Rate Cut Hopes

    By Barani Krishnan

  • The Zacks Analyst Blog Highlights: Franco-Nevada, Royal Gold, Rio Tinto, SSR and BHP
    Zacks7 days ago

    The Zacks Analyst Blog Highlights: Franco-Nevada, Royal Gold, Rio Tinto, SSR and BHP

    The Zacks Analyst Blog Highlights: Franco-Nevada, Royal Gold, Rio Tinto, SSR and BHP

  • Bitcoin Could Help Stop News Censorship – from Space
    Coindesk7 days ago

    Bitcoin Could Help Stop News Censorship – from Space

    An advocacy group is testing out the idea that the combination of bitcoin and orbital communication can help fight news censorship.