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Goldman closes its gold short, the metal's move back above $1,400 triggering a stop. Still...

Goldman closes its gold short, the metal's move back above $1,400 triggering a stop. Still bearish though: "Our bias is to expect further declines in gold prices on the combination of continued ETF outflows ... as well as our economists' forecasts for a re-acceleration in U.S. growth later this year." GLD -0.3% premarket.
Comments (11)
  • kmi
    , contributor
    Comments (4023) | Send Message
     
    i.e. they don't think the money that exited will come back in, and since gold is not productive, without money coming back in price won't hold/increase especially vis a vis other asset classes.
    23 Apr 2013, 08:11 AM Reply Like
  • Windwood Trader
    , contributor
    Comments (2677) | Send Message
     
    Talk about hedging your manipulation!
    23 Apr 2013, 08:21 AM Reply Like
  • youngman442002
    , contributor
    Comments (5131) | Send Message
     
    Wonder how they knew....so perfect a trade....and all for the Asians to pick it up on the cheap...sell the western gold to the Asains....good job...
    23 Apr 2013, 08:26 AM Reply Like
  • bertrandrighi2
    , contributor
    Comments (37) | Send Message
     
    I bet they'd sell their mother to Asians for a bag of Greens...
    23 Apr 2013, 08:34 AM Reply Like
  • kmi
    , contributor
    Comments (4023) | Send Message
     
    Poor GS, call it right, you get labeled manipulator, call it wrong you get labeled... a manipulator....
    23 Apr 2013, 09:43 AM Reply Like
  • CoinsK
    , contributor
    Comments (3197) | Send Message
     
    "Hey.let's sell it all while it's cheap" ! Said British dingbat
    Gordon Brown :)
    23 Apr 2013, 08:30 AM Reply Like
  • jimingrapevine
    , contributor
    Comments (3) | Send Message
     
    Follow their trading, never their public commentary.
    23 Apr 2013, 08:52 AM Reply Like
  • anthonymaw
    , contributor
    Comments (37) | Send Message
     
    It is pretty clear from recent gold price fluctuations that the price has hit support due to supply side destruction at the cost of production of an ounce of refined gold at around US$1400

     

    If the price were to drop lower, the refiners would terminate supply so we now have market price/quaitity equilibrium.

     

    This is similar to the situation back in the 90's when central banks like the Bank of England were selling off their physical holdings and the price hit bottom around US$250 per ounce, except now they market movers are dumping digital gold.

     

    "News" of US economy "re-acceleartion" without significant job creation and in the face of endless Quantitiative Easing is just dishonest disingenius reporting.

     

    As the cost of gold production rises, it can be seen how gold bullion holdings are a hedge against inflation.
    23 Apr 2013, 09:12 AM Reply Like
  • Windwood Trader
    , contributor
    Comments (2677) | Send Message
     
    >anthonymaw-

     

    "News" of US economy "re-acceleartion" without significant job creation and in the face of endless Quantitiative Easing is just dishonest disingenius reporting."

     

    anthonymaw- How can you be so cynical? They're just reporting with panache and literary license with a sly wink.

     

    Windwood Trader
    25 Apr 2013, 03:44 PM Reply Like
  • mstrong1
    , contributor
    Comments (83) | Send Message
     
    It seems MANY paper gold holders all own the same hunk of leased gold. Meanwhile major investors are asking for their stored, allocated, actual physical gold and being turned down and being settled in cash, at major banks, because they don't have the physical.

     

    I think the main thing wrong with the world is that everyone is making many ownership certificates for the same asset. This allows for extreme manipulation and seems to work, until the owners show up and demand the underlying asset in physical form. Then it is game over.

     

    The outflows of tons of physical, daily to China, Russia, etc. is staggering and way beyond production.

     

    This isn't going to end well.
    23 Apr 2013, 10:07 AM Reply Like
  • Windwood Trader
    , contributor
    Comments (2677) | Send Message
     
    >mstrong1-

     

    I believe you are describing a blowout bubble Ponzi Scheme and I think you have it right, but in some parts of the world gold vaults limit or refuse to hand over metal. If you go to recover your gold you are given scrip and told to bring it back in three weeks.

     

    The discouraging part is that we know it's happening and can't do anything about it either before or after the POP!

     

    Windwood Trader
    25 Apr 2013, 03:29 PM Reply Like
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