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  • Gold Market: Is That A Light At The End Of The Tunnel Or An Oncoming Train? [View article]
    If the price goes up, you are right. If it goes down, it is being manipulated. Somehow, I find this argument difficult to digest.
    Apr 14, 2013. 11:58 AM | 5 Likes Like |Link to Comment
  • The End Of The Second Great Gold Rally [View article]
    Good article. However, I have just one point to make - easy money era has not yet ended. We are just seeing the 'possibility' of it ending. How far will these 'expectations' take the price down is anybody's guess.
    Apr 14, 2013. 11:55 AM | 2 Likes Like |Link to Comment
  • India Ending Diesel Subsidy Which Is Bullish For Gold [View article]
    Linking the end of diesel subsidy to a strengthening of the Rupee which in turn increases the demand for gold - is a bit too far fetched. There are too many other variables around, even if the diesel subsidy really ends, which may take two years at the current rate.
    Jan 20, 2013. 08:06 AM | 4 Likes Like |Link to Comment
  • Central Banks To Accumulate Gold For Another 5 Years At Least [View article]
    Ok. Thanks.
    Dec 23, 2012. 09:27 AM | Likes Like |Link to Comment
  • Central Banks To Accumulate Gold For Another 5 Years At Least [View article]
    I understand Basel III implementation is being deferred, it will not happen from Jan 2013
    Dec 23, 2012. 08:29 AM | Likes Like |Link to Comment
  • Gold: The Supply-Demand Equilibrium [View article]
    Most analysts miss the point that jewellery demand is also investment demand. Thus virtually all gold demand is Investment demand.
    Aug 20, 2012. 08:55 AM | 4 Likes Like |Link to Comment
  • George Soros' remarkable speech on the "political bubble" of the EU: "The (current) political dynamic makes the disintegration of the EU just as self-reinforcing as its creation has been ... (however) the likelihood is that the euro will survive because a breakup would be devastating not only for the periphery, but also for Germany." He gives the Germans 90 days to come around. Worth the full read.  [View news story]
    The flaws of the Euro are apparent. Europe has to go the full distance and establish a fiscal and political union or abandon the common currency altogether. There is no other permanent solution.
    Jun 3, 2012. 12:06 PM | 2 Likes Like |Link to Comment
  • Gold From A European Perspective [View article]
    Very true. In Indian Rupee, Gold touched its all time high yesterday. No bear market here for world's largest consumer.
    Jun 3, 2012. 01:42 AM | 2 Likes Like |Link to Comment
  • A Simple Explanation Of Capital Adequacy Ratios And How They Impact The Gold Market [View article]
    As per the link provided by you, the Required Stable funding (RSF) is increasing from 50% to 100%, so how does it become bullish for Gold? Please clarify - or have I misunderstood something? Moreover, there is no such thing as Tier 3 Asset, there is only Tier 3 Capital but Gold is an asset on bank's books.
    Jun 2, 2012. 10:52 AM | 1 Like Like |Link to Comment
  • Total Debt Held By Central Banks Implies $1900 Gold Price [View article]
    Referring to the first chart, Gold would be overbought till around end-2010 and hence a "sell". But Gold prices rose. Hence the conclusion drawn that it is now a "buy" does not seem to be correct. The metric does not predict correctly.

    In the second chart, you have plotted the price of Gold in dollars against value of Central Bank Gold Reserves in Dollars. Obviously there would be a high correlation. What else do you expect?

    Please correct me if I am wrong.
    Mar 24, 2012. 06:44 AM | Likes Like |Link to Comment
  • What Is Money Flow Telling Us About The Price Direction Of Gold And Silver? [View article]
    An ETF, such as the GLD, tracks the price of the underlying commodity (Gold, in this case), but I doubt if it is the "determinant" of its price. Conclusions you have drawn are not valid. You should rather use the commodity exchange data and do the same analysis.
    Mar 24, 2012. 06:28 AM | 6 Likes Like |Link to Comment
  • Are Diamonds Going To Outperform Gold This Year? [View article]
    Thanks for the links.
    Jan 21, 2012. 12:52 AM | Likes Like |Link to Comment
  • Are Diamonds Going To Outperform Gold This Year? [View article]
    The link that you quote ".....De Beers' artificially monopolistic control of diamonds." is dated 1994. Since then, several changes have taken place in the Diamond market. What is the current share of De Beers over Diamond supply?
    Jan 14, 2012. 09:05 AM | Likes Like |Link to Comment
  • Gold: Why It's A Leap Of Faith [View article]
    Good article. But you are wrong to assume that fear is the only reason for buying Gold. This may be true of institutional investors in the West who mostly buy paper Gold, but millions of Indians, Chinese, Arabs etc are have no clue about the day to day price movements in the financial markets, they buy Gold out of habit (and discipline, if I may say) and pass it on to the next generation. This is unlikely to change overnight, no matter what happens in the West. These buyers will always remain and provide the fundamental base market for Gold. Thus, a sharp sell off triggered by events in the financial markets may very well happen as you say, but once the panic subsides, it will only present a new buying opportunity for those on the other half of the world.
    Nov 26, 2011. 12:54 PM | 1 Like Like |Link to Comment
  • An Experienced Economist's View Of Gold As An Investment [View article]
    "....How much money an economy needs in circulation depends on the size of the economy and how fast it is growing....". True. But size of the economy and how fast it is growing propelled by debt? Which the economy cannot ever hope to repay? Need of the hour is to de-leverage, to shrink the size of the economy. This will cause pain in the short run, but it is the only way to a sustainable and lasting solution. When the structural defects in the individual and national balance sheets are rectified (income > expenses) and (assets > liabilities), sustainable growth will emerge. Not until then.
    Nov 19, 2011. 01:27 AM | 1 Like Like |Link to Comment