Gold slides to lowest level in 5 weeks

Unrest in the Middle East and Ukraine is failing to give a bid to gold which is off 1% to $1,291. Signs of economic strength maybe aren't helping, with China's PMI rising to an 18-month high and U.S. jobless claims falling to their lowest level since 2006.

Yesterday, Goldman reiterated its year-end forecast for gold of $1,050 per ounce, and the China Gold Association reported a 19% decline in gold demand in that country through the year's first half. “China bought too much last year and there’s significant stock built up onshore that will take some time to work through,” says ANZ's Victor Thianpiriya.

GLD -1.1%


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Comments (14)
  • Brian58
    , contributor
    Comments (330) | Send Message
    This summarizes everything.

    24 Jul 2014, 01:15 PM Reply Like
  • Brian58
    , contributor
    Comments (330) | Send Message
    also Goldman upped their price to $1200

    24 Jul 2014, 01:16 PM Reply Like
  • howard26
    , contributor
    Comments (266) | Send Message


    I went to the link and read the article. It states “We expect gold prices to drop to $1,050 by the end of 2014, maintaining our previous forecast. Acceleration in the US economic recovery story remains the key driver behind the lower gold price forecast,” .


    The $1200 they cited was its "2014 full-year price average call unchanged at $1,195 per ounce and also kept the forecast unchanged at $1,200 per ounce out to 2017".


    So, I think the $1050 was an absolute low price forecast and the $1200 average full year price.


    So, go back and reread your link and see what you think.


    Thanks for the info.
    24 Jul 2014, 01:48 PM Reply Like
  • gelstretch
    , contributor
    Comments (3505) | Send Message
    What Goldman wants..... Goldman gets. They need to cover their shorts.
    24 Jul 2014, 02:08 PM Reply Like
  • MisterJ
    , contributor
    Comments (1182) | Send Message
    Another ponzi scheme is finally falling apart. Call it the Golden Ponzi.
    24 Jul 2014, 02:14 PM Reply Like
  • maui1
    , contributor
    Comments (56) | Send Message


    how does all other hard assets go up, while gold and silver go down? can you sell a painting quickly, if needed. can you sell a sports car quickly if needed? can you sell an expensive house quickly if needed.........and on an on?


    why everything and not gold and silver?
    24 Jul 2014, 02:29 PM Reply Like
  • Give_me_my_freedom
    , contributor
    Comment (1) | Send Message
    I hope this type of idiotic reporting on gold continues, thereby allowing me to purchase more precious metals at this ridiculous low price.
    Goldman and the rest can try to talk the price of gold down, but you can only hold a beach ball under water for so long. What drives the price of gold in the long term is not political instability but inflation, and by that I mean an increase in the money supply (correct definition) and not silly manipulated metrics like CPI.
    If you people are such strong believers in the weakness of gold, put your money where your mouth is. Go ahead and short it.
    24 Jul 2014, 02:37 PM Reply Like
  • MEKhoury
    , contributor
    Comments (408) | Send Message
    24 Jul 2014, 02:40 PM Reply Like
  • David at Imperial Beach
    , contributor
    Comments (4381) | Send Message
    2014H1 demand reports out of China are consistent with 2014Q1 reports. But 2014Q1 total demand exceeded supply by 26.4 tonnes. If you read all the way to the end of the Bloomberg story linked in the article, it ends with "Demand is going to stay quite strong." Now is not the time to be panicking over Goldman Sachs projections reiterated for the third time, at least.
    24 Jul 2014, 02:50 PM Reply Like
  • Brian58
    , contributor
    Comments (330) | Send Message
    The end game is near. Everyone owns the same gold bar and it will soon be discovered.
    24 Jul 2014, 04:39 PM Reply Like
  • nooseah
    , contributor
    Comments (752) | Send Message
    .... except that only one person owns my gold bar.
    24 Jul 2014, 08:25 PM Reply Like
  • jeffbelman
    , contributor
    Comments (2) | Send Message
    I entirely agree with the comments made above. Gold will rise because of inflationary pressures coming in due course. Many other countries are buying lots of gold including Iraq and India. It is not geo - political problems that define the price of gold but supply and demand. Other reports I have read forecast gold to reach 1400 by the end of this year and rising in 2015 and beyond.
    24 Jul 2014, 06:13 PM Reply Like
  • nooseah
    , contributor
    Comments (752) | Send Message
    “China bought too much last year and there’s significant stock built up onshore that will take some time to work through,”


    .... what an absurd comment: "... bought too much ..."


    What are the Chinese doing with it -- Eating it? Building ghost towns with it?


    Gold is money. To paraphrase the dim bulb from ANZ: "I have way too much money -- it's going to take a while to work through it."
    24 Jul 2014, 08:29 PM Reply Like
  • james.
    , contributor
    Comments (1395) | Send Message
    Read the tape people, read the tape ! On Friday July 25, 2014, Gold closed in Electronic Trading at 6 pm EDT at $1308 per oz, which is up $14; an even greater percentage advance was recorded by Silver price ! I reiterate, read the tape people, read the tape ! July 26, 2014 at 11:57 a.m. PDT.
    26 Jul 2014, 02:58 PM Reply Like
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