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related
metals:
Gold
Futures Trading Update
With
crude oil prices looming, and a climate of uncertainty
the Middle East, the lowering value of the dollar as a
currency and for want of an inflationary hedge; Gold trading
has
shown dramatic fluctuations over the course of the year.
Revealing its potential volatile nature.
Notation: Gold Traders Association requested a delay to the start of gold futures
on the Thailand Futures Exchange (TFEX) - August 2008.
Citing possible impact on local retail establishments.
The introduction of TFEX trading is slated September 2008.
 Big
picture:
Gold highlights
Across
the month of March, 2008 Gold futures broke the all time
high of the thousand dollar mark as traders responded to
substantial rises in oil prices and a diminishing dollar.
In July 2008 Crude oil soars to a record $147.27 a barrel,
thereby approaching what some to believe is a psychological
$150.00 price.
As a sidenote, as forecast - Hurricane Dolly misses the
gulf of Mexico region offshore oil rigs that are responsible
for pumping about 25% of the United
States supply (the storm making landfall at approximately
July 23, 2008).
By August 11, 2008 Gold trades at a year low at $828.30
on the NYMEX amid a stronger dollar with crude oil prices
now falling, showing consecutive weeks of decline.
Many traders responded to the drop by turning short or liquidating to take advantage
of profit. Other commodities like platinum declined.
September 3, 2008
Gold falls below $810 as the dollar shows signs of strengthening
combined with a slide in crude oil prices.
December 2008 For years end gold closed at $880 for
just over a 5% increase for the year.
January 2009 Gold falls under $900 earlier in the month
to close at $928.40 at months end despite its appeal as a store of
value
however amid
the
banking crisis that could be partly attributable to the question of whether the
United
States
stimulus
package will pass through Congress. Combined with China production that reached
a
record
levels during the 2008 year.
February 20th, 2009 - Gold exceeds $1,000 an ounce that nearly made a 12 month
high.
By the first week of April, Gold prices experience a
decline probably due to the fact of world leaders gaining
resolve
to fix the economic crisis. Although, continued news of losses
such as from companies like Alcoa contribute to numbers forming
recent upswing.
May 13th, 2009 - trading for the precious metal crests $930/ounce
which represents a six week high, due to activity in exchange
traded funds.
By July 6th, 2009 With a perceived strengthening of the
dollar over the recent two weeks, and the price of crude
lowering, gold
accordingly loses some if its hedge
value as the metal approaches $920 an ounce for August
delivery.
During August 2009 gold rises on better prospects
of a global economic turnaround as demand for gold in jewelry
too drives prices discernably higher to top $ 950/ounce
however futures for December delivery dropped to due a fall
in crude oil prices.
September 17, 2009 - Gold rises to an eighteen month high
of $1025 an ounce amid a weakening dollar.
On October 27, 2009 Gold Futures for December delivery
settles at $1035.40 per ounce (COMEX).
The metal strikes $1,195 on November 26, 2009 for a record
high.
At the last weekend of December, trading eases at the prospect
of the end of the year trading.
By the weeks end on January 22nd, gold futures for Febrauary
dips as well as mining shares due to the China situation
and the Obama administration's
announcement for banking regulations.
February 22, 2010 - Gold's rise at last weeks end, attributable
to the risk of default in Greece and expectations in loss
of strength in the U.S dollar.
Last update - February 22, 2010
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