THE FORGOTTEN METAL
Gold was on course for a second week of decline when Mining Weekly went to press, this time because of seeming budget rapprochement in the US, which lifted the dollar and curbed gold’s safe-haven appeal – yet again. Investor antics continue to ride roughshod over gold’s physical consumption. No matter how much gold the East consumes, it is what investors do in the West that holds sway. At the time of writing, the gold holdings of SPDR Gold Trust, the world’s largest gold-backed exchange trade fund, are at a four-year low. "Honestly, it doesn't make sense," USAA Precious Metals fund manager Dan Denbow was quoted as saying. Just when will gold’s stars realign? That question is too difficult to answer while the wave of gold selling continues unabated.
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