RE: Added on Fresnillo14 Aug 2020 11:28
That is a good buy tony. I reckon it will be 1350+ on the next leg up of PM. We are still in consolidation but you can just see silver chomping at the bits last night. It seems FRES always miss the out of hour rises but catches the falls. Bloody frustrating.
Again, it will breach 1250 today. Dollar had a little rally buy coming back down now. Below a story on how gold is king in times of stress:
ISTANBUL, Aug 14 (Reuters) – Hasan Ayhan followed his wife's instructions last week and took their savings to buy gold at Istanbul's Grand Bazaar as Turks scooped up bullion worth $7 billion in a just a fortnight.
With memories of a currency crisis which rocked Turkey's economy only two years ago fresh in his mind, the retired police officer was among those playing it safe as he queued in the city's sprawling covered market, where a screen showed the gold price rise by one Turkish lira ($0.1366) in just 10 minutes.
"I think it is the best investment right now so I converted my dollars to buy gold," the 57-year-old said, adding: "I might withdraw my lira and buy gold with it too, but I am scared to go to the bank right now because of coronavirus." The day after Ayhan bought his gold on Aug 6, the lira hit a historic low and has remained skittish since, laying bare concerns that Turkey's reserves have been badly depleted by market interventions, which are showing signs of fizzling out.
Turks have traditionally used gold as savings and there may be as much as 5,000 tonnes of it "under mattresses", with more added after the recent buying spree, Mehmet Ali Yildirimturk, deputy head of an Istanbul gold shops association, said.
Although bullion has never been more expensive, vendors at the Grand Bazaar said almost no one is coming to sell their gold jewellery. There are only buyers.
"I've been chatting with hundreds of people who are thinking about selling their cars or houses to invest in gold," Gunay Gunes, whose busy booth is near the market's entrance, said.
In the last three weeks, as selling gripped the lira, local holdings of hard assets such as dollars and gold jumped $15 billion to a record of nearly $220 billion. ...
There is no evidence suggesting people are about to pull savings from banks, and this week the lira has hovered around 7.3 versus the dollar, although it remains among the worst emerging-market performers this year.
Demand has eased since Turks withdrew some $2 billion in hard foreign cash from their banks during a March-May period in which a lockdown was imposed and the lira hit its last low, according to central bank banknote data.
Sign In
Follow the stocks
