Gold $3,000 an ounce. Silver hit $34 an ounce. Woop Woop !
PQGoldBean
Posts: 17 ✭✭
Go baby go!!
Time to ride the gold and silver wave.
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PQGoldBean
Posts: 17 ✭✭
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Gold 3003.10 14.50 (0.49%)
Did the lunar eclipse have anything to do with it?
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Yes. Blame it on the moon.
Macquarie said $3,500 by Q3 is possible, near-term $3,150.
Reports that Russia has depleted their gold holdings DURING the rise...they dumped the WMG's years ago and killed the price but gold held up. If they decide to replenish, that's more demand. Their SWF is down by 75% as the war in Ukraine is decimating their finances.
I keep seeing reports that there is "no froth" in the market. Means multiple buyers/bidders underneath....folks want INTO this market which bodes well for more buying.
From RBC, talking about the relationship between Gold ETFs and the price, which have disconnected the last 2+ years.
"...Investor flows in gold as measured by ETP holdings have been on quite the journey over the last handful of years. For much of the existence of gold-backed ETPs (which began in the early 2000s), holdings (measured in oz or tons) largely moved with prices. If gold prices rose, so would flows into ETPs and vice versa. This is what we view as the normal relationship — as the same factors that drive gold prices higher tend to lead to investment in gold (with the same being true in the other direction). We do not view ETP flows as drivers of price, and in fact tend to think of flows as price driven, although overall, they do simply tend to move together in a “normal” world.
However, towards the end of 2022, we started to see a breakdown in that relationship. Gold prices had started gaining steam yet ETPs were losing tonnage.It’s difficult to overstate how much of a shift that was, and it lasted much longer than we expected. For much of the rally in gold prices that began several years ago, ETPs were losing tonnage. Our best explanation was that investors were more focused on pursuing investment gains elsewhere. Instead of keeping their gold exposures flat in percentage terms, they mostly did so just in nominal terms. When coupled with gold’s price gains, that meant selling gold ETPs, monetizing gains, and deploying those gains elsewhere. One need only take a cursory glance at the S&P 500 from late 2022 onwards to get an idea of where that investment was likely being deployed.
Thus, even as gold was gaining rapidly, from late 2022 through early 2024, AUM was much more stable than prices. While 2024 onwards saw some stabilization in ETP flows, flows were still not as responsive to prices as they once were. We view this period as perhaps a partial normalization where more investors were interested in participating in the gold story. Most recently we have seen more interest in gold, anecdotally, given the all-time highs reached, and in the data. We argue that the jump in holdings seen recently is mostly attributable to risk-off lows, and that risk-overlay allocations will continue to layer into gold over the course of the year. While we do not think a return to the “normal” is in the offing, we’d suspect more normal behavior in 2025 than seen over the prior two years.
Additionally, while investment in developed market listed gold ETPs (i.e., in the North America and Europe) continues to dominate outstanding AUM, we have seen a notable jump in ETP flows in Asia on a relative basis. Geographies historically thought of as consumer markets focused on jewelry, bars, coins, etc., like China and India have seen a relatively rapid increase in investor interest. While on a total ton basis it may not be game changing for ETP flows, the nascent “investorization” of Eastern gold markets does provide a supportive tailwind to total ETP flows. In 2024, Asia’s 78.4t of inflows helped to almost offset Europe’s 97.9t in outflows when coupled with inflows elsewhere. So far in 2025, the inflow into European listed products has been the standout. Additionally, recent news that major Chinese insurance companies would be allowed to hold up to 1% of their AUM in gold adds to this theme. While this is early days and relatively small numbers in the grand scheme of gold investment, it is yet another reason to be positive on long-term investment demand for gold.
Overall, we think investors should be supportive on the downside and believe that even though ETPs and prices may not realize their historical normal relationship, that priceresponsive buying on dips and periods of consolidation will allow for layering into gold allocations over the course of the year. There is a lot of ground to cover for ETPs in the coming years."
Crypto might also be a factor. Bitcoin has far outpaced gold during the past several years, and some owners might want to diversify some of their holdings into PMs.
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I just see the 90:1 gold to silver ratio as an all time opportunity to exchange gold for silver.
"“Those who sacrifice liberty for security/safety deserve neither.“(Benjamin Franklin)
"I only golf on days that end in 'Y'" (DE59)
Silver hasn't even begun to get warmed up. Stay tuned in.
For those keeping tabs on the price, gold just crossed $3000 again.
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