Deal sealed (kinda like a tomb). Gold hits another new high.
The highs are coming quick and it’s amazing really because we are still in the summer months when typically the price of gold sits and waits gathering strength for a run later. I guess things are different this year. ExactPrice is showing the spot price right now at $1,639.70.
The Senate has yet to vote on the bill passed in the House so time will tell. We’ll see if gold retreats after the deal is passed and signed by the President. Most, including myself have been of the persuasion that it will, but I have to admit that given the reaction that gold has had this week so far I’m beginning to wonder.
:Update. Deal is sealed and I can’t help but think that the rest of the markets today think the sealing of the deal is like the locking up of a tomb. Not looking good in the stock market. Gold on the other hand is making an attempt at $1650.
Any way here’s a some interesting new related items for today:
Bank of Korea buys gold for the first time in 13 years <- This an interesting item and you should read the comments. The following snippet is a comment from someone reportedly living in Korea:
Jim Rickards on his KWN interviews talks about going to the gold market in Beijing and it being lit up like Times Square, well in Seoul it’s lit up in a similar manner. Lots of people buying gold up like crazy (kilo bars or the “squares” denominated in 37.5 grams…ancient Korean unit). Silver’s here but it’s not as popular. You have to get it in industrial kilo bars or in commerative coins, like for the 1988 Seoul Olympics, which are still good 1oz coins.
For goodness sake, LG and Samsung and Hyundai Motors have more [physical] gold under their vaults than the BoK or the government does.
Also from Dan Norcini: Uptrending Channel is beginning to steepen for Gold
Predicting the Year-End Price of Gold <- from Casey Research. Good analysis.
James Turk – Wave of Asian Buying to Crush Gold Shorts <- This KingWorldNews report seems to confirm that first comment on Norcini’s site.
Year To Date Performance – And the Winner Is …. Silver <- a must see graph.
$1764 Is The Magnet To Watch <- with gold quickly approaching $1650 I thought this reminder from Jim Sinclair worth noting.
Woodpecker-Saving Daughter Costs Mom $500, Possible Jail Time <- ht Drudge Report. This is why we are doomed to failure in this country where our government is out of control.
Gold heading for $1850 this year as rising global risk giving gold a lift <- That maybe conservative.
Debt Deal: Which Party Won — Democrats or Republicans? <- personally, I think this is why we are not going to solve any of the issues we’re faced with, without first hitting rock bottom. The headline itself belies the problem which still sees an “Us verses Them” mentality.
Gold jumps to record on poor U.S. outlook, debt worry <- Yup. It’s about the debt.
Gregg Easterbrook: The phony-as-a-three-dollar-bill debt deal <- Pretty much, yeah.