Investment-savvy Indians shift gold buying to bars from bangles

From:  http://www.reuters.com/

By Jo Winterbottom


NEW DELHI, Sept 8 (Reuters) - In a nation whose love for gold is legendary, financial adviser Biju Daniel is one of scores of Indians who are rethinking how they amass riches through the precious metal.
Daniel's wife owns at least a kilogram of jewellery and he sports a gold watch. But he is also shrewd enough to realise that the world's biggest gold consumers are falling out of love with wearing their wealth, preferring to stock up on coins, bars and bullion-based investment funds as they look for returns safe from the ravages of inflation and the dictates of fashion.
Demand for gold bars, coins and other pure investments in India, Asia's third largest economy, soared 83 percent in 2010 from the year earlier to 349 tonnes, according to GFMS, a precious metals consultancy that is part of Thomson Reuters.    LINK...
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Think about it folks, two of the largest, most populated countries in the world, with the longest histroy are buying gold coins and bars. Together China and India are absorbing our entire manufacturing and service based industries. What will that leave us?   BK

Is the Swiss Franc to Euro Peg Bullish For Gold?

By Eric McWhinnie


On Tuesday, gold (NYSE:GLD) reached a new all-time nominal high of $1921.15 before falling back below $1900. Silver (NYSE:SLV) futures for December delivery retreated 2.8% to close at $41.86. Even though gold and silver suffer pullbacks from time to time, the bullish case for precious metals (NYSE:DBP) continues to build. Yesterday, the Swiss National Bank decided to surprise global markets and give investors another reason to buy gold and silver.  LINK...
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The only TRUE "safe haven" left...
 

If You're Looking For Bubbles, Don't Look at Gold Coins

Constantin Gurdgiev

Globe and Mail Blog
Posted on Wednesday, September 7, 2011 12:01PM EDT

Dr. Constantin Gurdgiev is Head of Research with St Columbanus AG and the adjunct lecturer in finance with Trinity College, Dublin
Of all asset classes in today’s markets, gold is unique. And for a number of reasons.*
Firstly it acts as a long-term hedge and a short-term flight to safety instrument against virtually all other asset classes.** Secondly, it supports a wide range of instruments, including physical delivery (bullions, coins and jewellery), gold-linked legal tender, gold-based savings accounts, plain vanilla and synthetic ETFs, derivatives and producers-linked equities and funds. All of these are subject to diverse behavioural drivers of demand. Thirdly, gold is psychologically and analytically divisive, with media coverage oscillating between those who see gold as either a long-term risk management tool, or a speculative “bubble”. LINK...