Gold demand around the world
Here are some articles on global gold demand. I referred to these articles in our interview with Gary this morning. It appears that gold demand is slipping, quite drastically in some places. Will this have an impact on the price of gold? I don’t think so but if demand continues to decrease the permabulls will have to focus on other factors to drive gold.
Total Gold Demand Falls 16% Year-Over-Year To 963.8 Tons In Q2 – Kitco
Global gold demand returning to positive long term trends – Mineweb
India Gold Imports Seen Dropping as Rajan Protects Rupee – Bloomberg
Global gold demand weaker, WGC says – Arab News
good one Matt……………
Gold demand might be slipping, silver had the big boost due to the changing of the fix.
I think that as the American dollar loses the reserve currency status, people might notice the value of those dollars decrease. I figure some of those dollars should move to gold.
I think gold should move before silver does, (meaningfully due to devaluing dollars)
as people will think gold before silver, also due to storage considerations.
Just my guess of course, but I still think 5-10% of investable income in physical gold remains wise.
Gold in Ukraine Hryvnia – YTD 2014 (Sharelynx)
This is especially the case in Ukraine where the currency has lost more than half of its value versus gold (see chart above and below). Gold in Ukraine Hrvynia is up 70% since the start of 2014. People who own gold in Ukraine would laugh at you, if you said that gold is not a safe haven.
People in Iraq, Iran, Syria, Gaza and elsewhere in the Middle East would also attest to how gold is a safe haven – both for refugees fleeing with portable wealth that is gold and for those who stay in country but see their currency devalued. As would people in Argentina (see chart
below) and throughout many countries in South America and indeed Africa.
A piece of the article Gold not a safe haven Zerohedge
Speaking of Ukraine, here is an interesting article. I don’t know if this individual’s story is true or not. But it’s worth reading: http://slavyangrad.org/2014/08/14/residents-of-slavyansk-have-disappeared-the-town-is-being-re-populated-with-migrants-from-western-ukraine/
When asked how those officials from the Middle-Eastern countries view PAPER money, Rickards responded, “Well, the way I would put it, Eric, it is a joke, but they are in on the joke. They understand the vulnerability of it. They understand the gaming of it and the way paper money is used to transfer wealth from people who don’t really understand it to those who do and are in a position to manipulate it.
But it’s ok if you are in on the joke. You know the old saying, ‘If you are in on a poker game and you don’t know who the sucker is, you’re the sucker.‘
http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2011/10/8_Jim_Rickards_-_Whos_the_Sucker_at_the_Global_Gold_Poker_Table.html