Gold Up as the $500 Trillion Derivatives Time Bomb Keeps Ticking
Commodities / Gold & Silver
Mar 12, 2008 - 11:01 AM

By: Mark_OByrne

Gold was up $4.10 to $974.30 per ounce in trading in New York yesterday silver was down 3 cents to $19.64 per ounce. In Asian and early European trading gold has traded sideways to slightly up. The London AM Gold Fix at 1030 GMT this morning was at $975.75, £483.26 and €630.90 (from $980.50, £485.47 and €633.40 yesterday).

Gold may continue to consolidate prior to the much anticipated rally to the $1,000 mark. But given the continuing weakness in the dollar (se FX below), record high oil prices and the continuing credit crisis, gold will likely continue to surprise to the upside.

Stock markets have again greeted the latest Federal Reserve “throwing money at the problemâ€