The chairman of Rogers Holdings said that metals like silver and gold, as well as agricultural commodities like rice, will be the best investments over the next few years.
Although he holds both gold and silver currently, Rogers says he prefers the white metal right now because it has been less bullish than gold lately, and represents a better bargain.
Regardless, he thinks that gold will eventually hit more than $2,000 per troy ounce, by some undisclosed date. He advocates buying physical gold over gold shares, citing its liquidity, portability and "real" value.
The hedge fund manager is pessimistic about the state of the global economy and told an investors conference in Kuala Lumpur on Wednesday that "Bonds are not a good place to invest in. You should own commodities because that’s your only refuge."
Rogers gained international renown after calling the beginning of the global surge in commodities prices that began in 1999. In 1998, he created the Rogers International Commodity Index, which is a dollar-based basket of 36 commodities across three major sectors: agriculture, energy and metals.
The RICI includes gold, silver, palladium, platinum, crude oil, natural gas, rice, coffee, cocoa wheat and sugar.
Showing posts with label precious metals. Show all posts
Showing posts with label precious metals. Show all posts
Saturday, July 10, 2010
Monday, April 26, 2010
Superior Gold Group - Precious metals end on a strong note
Precious metal prices ended higher on Friday, 23 April 2010 at Comex. Strong economic data weakened the dollar thereby imparting some shine on precious metals. Prices fell earlier in the day due to weak durable goods report. Then strong housing data pulled up prices.
Generally, a stronger dollar pressures demand for dollar-denominated commodities, such as crude oil and gold, which become more expensive for holders of other currencies and also vice versa.
On Friday, gold for June delivery ended at $1,153.7 an ounce, higher by $10.8 (0.9%) an ounce on the New York Mercantile Exchange. Earlier during the day, it fell to a low of $1,135.2. For the week, gold ended higher by 1.5%. For the month of March, gold slid 0.4%. For the first quarter of this year, gold rose by 1.7%, its sixth quarterly rise. On a year to date basis, gold is higher by 5.2%.
On Friday, May Comex silver futures ended higher by 18 cents (1%) at $18.19 an ounce. For the week, silver lost 2.9%. For the month of March, silver ended higher by 5%. For the first quarter of this year, silver rose by 3%. On a year to date basis, silver is higher by 6.9%.
In the currency market on Friday, the dollar index, which measures the strength of the dollar against basket of six other currencies fell by 0.12%.
Among economic reports expected for the day, The Commerce Department in US reported on Friday, 23 April 2010 that demand for U.S made durable goods dropped for the first time in four months as orders for new aircraft plunged 67%. But, excluding transportation, orders rose at the fastest pace in more than two years. As per the report, orders for durable goods fell 1.3% in March to a seasonally adjusted $176.7 billion after a 1.1% gain in February. Excluding transportation goods, however, new orders rose 2.8% to $136.5 billion in March, the fastest growth since the recession began in December 2007.
Elsewhere, The Commerce Department in US reported on Friday, 23 April 2010 that sales of new homes in US surged 27% in March to a seasonally adjusted annual rate of 411,000 after hitting a record low in February. The increase in sales was boosted by soon-to-expire tax break, low mortgage rates, and favorable weather. It was the largest percentage gain in sales since April 1963. It was the highest sales pace since July, and much stronger than the 335,000 expected. Sales in December, January and February were revised higher. In February, sales were revised to a 324,000 annualized pace, up from 308,000. It's still the lowest on record, dating to 1963. Sales are up 24% compared with March 2009, but are down 70% from the peak in 2005.
Gold had ended FY 2009 higher by 24%. Silver futures had ended 2009 up 50%. The dollar index had lost 4.2% against its counterparts last year.
source: BloombergUTV
Generally, a stronger dollar pressures demand for dollar-denominated commodities, such as crude oil and gold, which become more expensive for holders of other currencies and also vice versa.
On Friday, gold for June delivery ended at $1,153.7 an ounce, higher by $10.8 (0.9%) an ounce on the New York Mercantile Exchange. Earlier during the day, it fell to a low of $1,135.2. For the week, gold ended higher by 1.5%. For the month of March, gold slid 0.4%. For the first quarter of this year, gold rose by 1.7%, its sixth quarterly rise. On a year to date basis, gold is higher by 5.2%.
On Friday, May Comex silver futures ended higher by 18 cents (1%) at $18.19 an ounce. For the week, silver lost 2.9%. For the month of March, silver ended higher by 5%. For the first quarter of this year, silver rose by 3%. On a year to date basis, silver is higher by 6.9%.
In the currency market on Friday, the dollar index, which measures the strength of the dollar against basket of six other currencies fell by 0.12%.
Among economic reports expected for the day, The Commerce Department in US reported on Friday, 23 April 2010 that demand for U.S made durable goods dropped for the first time in four months as orders for new aircraft plunged 67%. But, excluding transportation, orders rose at the fastest pace in more than two years. As per the report, orders for durable goods fell 1.3% in March to a seasonally adjusted $176.7 billion after a 1.1% gain in February. Excluding transportation goods, however, new orders rose 2.8% to $136.5 billion in March, the fastest growth since the recession began in December 2007.
Elsewhere, The Commerce Department in US reported on Friday, 23 April 2010 that sales of new homes in US surged 27% in March to a seasonally adjusted annual rate of 411,000 after hitting a record low in February. The increase in sales was boosted by soon-to-expire tax break, low mortgage rates, and favorable weather. It was the largest percentage gain in sales since April 1963. It was the highest sales pace since July, and much stronger than the 335,000 expected. Sales in December, January and February were revised higher. In February, sales were revised to a 324,000 annualized pace, up from 308,000. It's still the lowest on record, dating to 1963. Sales are up 24% compared with March 2009, but are down 70% from the peak in 2005.
Gold had ended FY 2009 higher by 24%. Silver futures had ended 2009 up 50%. The dollar index had lost 4.2% against its counterparts last year.
source: BloombergUTV
Monday, April 5, 2010
Precious metal prices benefiting from economic optimism
Silver and gold dealers are likely to see growing demand for precious metals among investors in the coming months, in light of an improving economy that has provided some momentum for commodities in general in recent days.
For example, a recent Associated Press report noted that platinum and palladium prices had gained last week, along with other metals such as copper and silver. Many of these materials are required for the manufacture of vehicles and electronics, among other consumer products.
The wire service added that improving auto sales had fueled the price gains for platinum, which was reportedly trading around $1,669 an ounce last week, and palladium, which was around $490 at the same time.
Changing technology has also created demand for other materials that may only become increasingly valuable in the coming years. For example, various media reports have noted that companies are now seeking out new deposits of lithium in an effort to meet the long-term demand for its use in batteries for hybrid and electric vehicles.
Precious metals have long been seen as a safe haven investment for times of economic uncertainty, but new technologies have helped make these commodities more in demand regardless of what the financial climate may be.
For example, a recent Associated Press report noted that platinum and palladium prices had gained last week, along with other metals such as copper and silver. Many of these materials are required for the manufacture of vehicles and electronics, among other consumer products.
The wire service added that improving auto sales had fueled the price gains for platinum, which was reportedly trading around $1,669 an ounce last week, and palladium, which was around $490 at the same time.
Changing technology has also created demand for other materials that may only become increasingly valuable in the coming years. For example, various media reports have noted that companies are now seeking out new deposits of lithium in an effort to meet the long-term demand for its use in batteries for hybrid and electric vehicles.
Precious metals have long been seen as a safe haven investment for times of economic uncertainty, but new technologies have helped make these commodities more in demand regardless of what the financial climate may be.
Wednesday, March 31, 2010
Precious metals continue to offer investment opportunities
Dealer gold continues to be an attractive investment opportunity in light of ongoing concerns about the slow economic recovery, but there are other precious metals worth taking a look at as well.
One such example is platinum, which was featured in a recent personal finance column on Forbes.com. In the column, Christopher Helman notes that platinum is needed for catalytic converters in automobiles, as well as LCD televisions and other products.
Helman added that platinum is easier to invest in because of recently introduced exchanged-traded funds, and he added that the metal tends to be particularly strong when an economy is recovering because of the increased industrial demand.
Investors can also consider silver as a promising precious metal investment because of the many industrial applications that require it. Gold demand has also remained strong in light of increased demand and overall economic activity in emerging economies such as India and China.
The strength of platinum and other precious metals means that investors should consider their full range of opportunities when consulting with a silver and gold dealer.
One such example is platinum, which was featured in a recent personal finance column on Forbes.com. In the column, Christopher Helman notes that platinum is needed for catalytic converters in automobiles, as well as LCD televisions and other products.
Helman added that platinum is easier to invest in because of recently introduced exchanged-traded funds, and he added that the metal tends to be particularly strong when an economy is recovering because of the increased industrial demand.
Investors can also consider silver as a promising precious metal investment because of the many industrial applications that require it. Gold demand has also remained strong in light of increased demand and overall economic activity in emerging economies such as India and China.
The strength of platinum and other precious metals means that investors should consider their full range of opportunities when consulting with a silver and gold dealer.
Tuesday, January 19, 2010
Gold forecast to hit $1,350 per ounce
A leading investment institution is predicting that gold dealers will continue to see strength in their sector in the coming year, despite concern about some pending economic factors.
The UK's Telegraph newspaper quoted a report from Goldman Sachs economists as predicting that the price of gold will reach $1,350 per ounce a year from now, based on the expectation that the Federal Reserve will not raise short-term interest rate targets either this year or next.
"We continue to expect that the resulting low real interest rate environment will continue to support gold prices," the newspaper quoted the report as saying, going on to note that last week, gold prices stood at about $1,139 per ounce and that investors will also be able to benefit from commodities like platinum and palladium in the coming months.
Some economists have warned that the size of the U.S. federal deficit and national debt could undermine the performance of the dollar in the longer term, which could also be a positive sign for gold investments.
Another trend to consider is the economic activity being seen in a number of developing economies, such as China and India, where materials like gold and silver are increasingly in demand for industrial applications and also because of a rapidly growing middle class.
News brought to you by Superior Gold Group
The UK's Telegraph newspaper quoted a report from Goldman Sachs economists as predicting that the price of gold will reach $1,350 per ounce a year from now, based on the expectation that the Federal Reserve will not raise short-term interest rate targets either this year or next.
"We continue to expect that the resulting low real interest rate environment will continue to support gold prices," the newspaper quoted the report as saying, going on to note that last week, gold prices stood at about $1,139 per ounce and that investors will also be able to benefit from commodities like platinum and palladium in the coming months.
Some economists have warned that the size of the U.S. federal deficit and national debt could undermine the performance of the dollar in the longer term, which could also be a positive sign for gold investments.
Another trend to consider is the economic activity being seen in a number of developing economies, such as China and India, where materials like gold and silver are increasingly in demand for industrial applications and also because of a rapidly growing middle class.
News brought to you by Superior Gold Group
Friday, January 15, 2010
Demand for precious metals unlikely to decline
Silver and gold dealers know that their products in demand because of the many products that require these precious metals, as well as the stable investment opportunity they tend to offer.
For example, a report on the U.S. Geological Survey website helps illustrate why silver is a sound investment, especially with economic activity picking up in developing nations.
According to the USGS, about 1,120 tons of silver with a value of about $570 million was produced in the United States in 2008, with Alaska and Nevada leading the way in overall production. Along with being used in coins, the report noted that silver is used in a wide variety of industrial applications because of its malleability, conductivity and reflectivity.
It is also used in products ranging from catalytic converters to batteries to cell phone covers, and even in photography. In fact, up to 90 tons of silver per year are said to be recovered from photographic wastewater alone. Other applications include using silver for wood treatment to fight mold and for the tiny antennas used in radio frequency identification technology.
As economic activity picks up around the world and as more countries manufacture and purchase products requiring silver, investors will be well-positioned to reap the benefits.
News brought to you by Superior Gold Group – expert gold dealers offering precious metals products
For example, a report on the U.S. Geological Survey website helps illustrate why silver is a sound investment, especially with economic activity picking up in developing nations.
According to the USGS, about 1,120 tons of silver with a value of about $570 million was produced in the United States in 2008, with Alaska and Nevada leading the way in overall production. Along with being used in coins, the report noted that silver is used in a wide variety of industrial applications because of its malleability, conductivity and reflectivity.
It is also used in products ranging from catalytic converters to batteries to cell phone covers, and even in photography. In fact, up to 90 tons of silver per year are said to be recovered from photographic wastewater alone. Other applications include using silver for wood treatment to fight mold and for the tiny antennas used in radio frequency identification technology.
As economic activity picks up around the world and as more countries manufacture and purchase products requiring silver, investors will be well-positioned to reap the benefits.
News brought to you by Superior Gold Group – expert gold dealers offering precious metals products
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