GOLD ASK 00.00 $ 1.20
SILVER ASK 00.00 $ 1.20

Please allow up to 30 days or more for delivery of some products due to Mint shipping delays.

Market Alert


July 2016 – Week 3 Edition

Big Banks Continue to Support Gold

Most global mega-banks are still supporting gold as part of their overall investment strategy.  In some cases, they are predicting higher prices in the range of $1,400 to $1,500.  Switzerland’s Credit Suisse sees gold reaching $1,500 by the beginning of 2017.  Credit Suisse analyst Michael Slifirski cites “macro and political uncertainty” as well as “a negative real rate environment in the U.S. and potentially abroad.”

Another Swiss bank, UBS, sees gold rising to $1,400 soon.  UBS analyst Joni Teves says that gold could reach $1,400 due to a similar list of concerns – economic uncertainty, declining bond yields and negative interest rates. “These factors,” Teves wrote, “justify strategic gold allocations across different types of investors.”  She added that the view that “gold has now entered the early stages of the next bull run is becoming a common theme among our conversations with various market participants.”

Canada’s RBC Capital Management predicts $1,500 gold in 2017, citing elevated geopolitical uncertainty and higher “systemic” risk related to declining real interest rates.  RBC analysts said, “We believe the economic environment is more favorable for gold with a dovish outlook by the U.S. Fed, declining (U.S. dollar) real rates, global central bankers looking to negative real rates for economic stimulus and steady fundamental demand for physical gold,” adding that “Our technical outlook suggests that the next gold bull market is underway, and any weakness is viewed as a buying opportunity.”

In addition, a global research team at Bank of America Merrill Lynch reinforced their optimism for gold by calling for a rise of 10% between now and the end of next year with a target price of $1,500.

Negative Interest Rates Support Gold

Gold gave up some of its post-Brexit gains last week, as the financial markets recovered from the shock of their June 23 vote to leave the European Union (EU) – a process which should take over two years to unravel.  Still, we see negative interest rates prevailing in Japan and most of Europe, giving gold a big advantage over cash in Asian and European markets. Meanwhile, holdings in the SPDR gold ETF (GLD) fell a bit after taking in a whopping $12.2 billion in shareholder purchases in the first half of 2016.



Important Disclosure Notification: All statements, opinions, pricing, and ideas herein are believed to be reliable, truthful and accurate to the best of the Publisher's knowledge at this time. They are not guaranteed in any way by anybody and are subject to change over time. The Publisher disclaims and is not liable for any claims or losses which may be incurred by third parties while relying on information published herein. Individuals should not look at this publication as giving finance or investment advice or information for their individual suitability. All readers are advised to independently verify all representations made herein or by its representatives for your individual suitability before making your investment or collecting decisions. Arbitration: This company strives to handle customer complaint issues directly with customer in an expeditious manner. In the event an amicable resolution cannot be reached, you agree to accept binding arbitration. Any dispute, controversy, claim or disagreement arising out of or relating to transactions between you and this company shall be resolved by binding arbitration pursuant to the Federal Arbitration Act and conducted in Beaumont, Jefferson County, Texas. It is understood that the parties waive any right to a jury trial. Judgment upon the award rendered by the Arbitrator may be entered in any court having jurisdiction thereof. Reproduction or quotation of this newsletter is prohibited without written permission of the Publisher.