The precious metals had a constructive first week of April with much talk of gold getting ready to break out. Let’s take a closer look at what happened in the bullion market this week:
1. Is there a movement towards a new Monetary System backed by gold?
April 7, 2019
Dr Stephen Leeb via King World News has shared that he believes we are on an inevitable road to a new monetary system that is backed by gold. This aligns with some of the thoughts shared in last week’s bullion review.
Leeb argues that Gold’s low trading range since 2016, the fact that the Central Bank’s have been buying gold at the highest rate since ‘Nixon took us off the gold standard’, and China accumulating over 30,000 tonnes of gold in the past 10 years as opposed to the officially released figures of 11 tonnes, are just some of the many events over that past 7 years that he believes are pushing towards a new monetary system. On top of this, regulations put into effect by Bank for International Settlements and the opinions of seasoned analysts such as Simon Hunt, also back this claim.
Ultimately, Leeb theorises that everything is pointing to the new monetary system being based on “blockchains of gold-backed SDRs…with a gold price well above $10,000.“
A reset to solve the world’s debt crisis does seem like a logical outcome and will mean much higher prices for gold and silver.
READ THE ARTICLE
2. Spot for gold trading below $1300 is said to be short lived
“It is as if Indian gold buyers, who import more bullion than any other country in the world, sent a signal to COMEX gold bears, “Hey, just add $172 (in duties, taxes and premiums ) to the spot price of whatever you want to sell and send it over to us. We’ll take it all!”
GET THE DETAILS
3. Thursday marked a key bullish reversal for the entire gold market
Morris Hubbart has shared an analysis on last Thursday’s reversal of the gold market with buy signals showing up across the sector.
4. Is gold getting ready to break out?
Clive Maund suggests that gold’s bearish scenario is now unlikely to play out.
He goes on to show how two important developments in the last week positively impacted both gold and silver. The first being a run of bullish candlesticks on the gold and silver charts, and the second being Trump’s declaration that the Fed should revert to QE again. It’s possible that Trump’s comments could cause the dollar to drop causing inflation to ramp up. If it does, this is great news for gold and silver.
READ THE ANALYSIS
5. Now is the perfect environment for creating sustainable gold rallies
April 10, 2019
In the article below, Stewart Thomson shares his 24 reasons why now is the perfect environment for creating sustainable gold rallies.
