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Copper Set for Weekly Drop Amid High Stockpiles, Economic Woes	20:23 Bloomberg - Markets
Keystone’s economic benefits for US questioned	20:22 The News International - Business
Dollar dips against yen in Asia	20:22 The News International - Business
Rupee fluctuates	20:22 The News International - Business
Forex reserves decline to $11.6bn	20:22 The News International - Business
Why the BSP relaxed forex rules again	20:22 ABS-CBNnews.com - Business
Aso on wires: Told G20 Abe’s economic policies are to fight deflation	20:22 ForexLive.com
One Man’s Currency Is Another Man’s Bet	20:21 The New York Times - Technology
5 to 10 minutes old www.usagold.com --LIVE NEWS--
Gold near two-year low; heads for fourth …	20:17 Yahoo! India
Continued Growth for Family Dollar Becomes a Struggle	20:16 The Motley Fool
Core Exploration finds new copper mineralisation at Paradise Well in Northern Territory	20:16 Proactive Investors - Australia
Carney: UK is a crisis economy	20:15 City AM
15 to 30 minutes old www.usagold.com --LIVE NEWS--
China Mar CB Leading Economic Index declines to 0 vs 1.3	20:08 FXstreet - Forex News
Wilson: Economy grew after flotation of T&T dollar	20:07 Trinidad & Tobago Guardian Online - Business
FTSE-100 hit by fears over US economy	20:07 The Scottish Herald - Business
SPOTLIGHT: The warehouse queues in copper	20:06 Metal Bulletin
Longest Retirements Fuel Pressure for Singapore Remodel: Economy	20:06 Bloomberg - Economy
The Conference Board Leading Economic Index® for China Remained Flat in March	20:03 PR Newswire (Press Release) - Entertainment & Media
March Conference Board Leading Economic Index for China 258.3 (vs. 258.4 prior)	20:02 ForexLive.com
Forex: GBP/JPY trading range continues, resistance at 150.60 still looms overhead	19:58 FXstreet - Forex News
Economic, social survey of Asia Pacific launched	19:57 Pakistan Today
South Asia regaining economic momentum but faces risks: World Bank	19:57 Pakistan Today
High earning groups face lesser food inflation	19:57 Pakistan Today
Chinese banks see forex surplus for 7 months	19:56 China.org.cn - Economy
30 minutes to 1 hour old www.usagold.com --LIVE NEWS--
FOREX: Ringgit Opens Marginally Lower Against Dollar	19:46 Bernama - Malaysian National News Agency - Markets
Inflation pushes up cost of the railways	19:45 City AM
Retail sales fall but stay above end of 2012 dip	19:45 City AM
US economic indicators slip	19:45 City AM
Financing deals keep upward pressure on copper premiums	19:36 Metal Bulletin
Quintessential Resources completes drilling 3 holes targeting silver-gold at PNG project	19:35 Proactive Investors - Australia
BlackRock Bullish as MUFJ Doubts Forecasts of Yield Jump	19:35 Bloomberg - Insurance
Despite Gold Losses, Paulson Still Believes	19:34 Business Week - BW Magazine
Australia's Two-Speed Economy Tests Gillard's Reelection Bid	19:34 Business Week - BW Magazine
Gold Set for Fourth Weekly Drop as Investors Weigh ETPs, Demand	19:33 Bloomberg - Markets - Commodities
BOJ bidding for 300bn yen in debt longer than 10 years and 500bn yen in 5-10 year debt	19:32 ForexLive.com
Sakakibara: Says Japan economy in recovery prcess, may have >2% growth in 2013, 2014	19:32 ForexLive.com
Christie Jobs Record Attacked as Growth Trails Neighbors	19:32 Bloomberg - Markets - Municipal Bonds
Calling All Coaches: Join Former Seahawks QB Jon Kitna And CBS Sportscaster James Brown To Devise Game Plan To Better Mentor Young Athletes	19:31 The Street - Markets
Gold rises in roller-coaster trade	19:28 WA Today - Markets
US stocks fall as bearish signs grow	19:28 WA Today - Markets
Recession brought jobs back to city centers, study finds	19:26 Chicago Tribune - Business
Okonjo-Iweala: FG Will Use Oil Savings to Protect Economy	19:26 ThisDay Live
1 to 2 hours old www.usagold.com --LIVE NEWS--
Dollar slips amid global worries	19:24 The Age - Markets
Gold will have its day again	19:24 The Age - Markets
Chinese lending jumps stoking inflation worries	19:23 China Economic Review - Columns
South Korea’s Hyun Says Yen Bigger Issue Than North Korea	19:23 Bloomberg - Regions
Will the Global Economy Be a Canary in Ford's Coal Mine?	19:19 The Motley Fool
Gold buyers rush to jewellers; investors to realty	19:13 The Economic Times - Markets
Forex Flash: USD/JPY, above 100.00 the 105.00 comes into sight - BTMU	19:08 FXstreet - Forex News
Gold near two-year low; heads for fourth week of decline	19:03 Reuters - Business

Gold's Fundamentals Have Not Changed

by Peter A. Grant

Apr 18, AM
(from USAGOLD.com) --

Gold traded briefly back above the $1400 level in early New York trading, before retreating back into the range. The market continues to be underpinned by considerable physical interest, both in Asia and here in the U.S.

The U.S. Mint is reporting sales of 147,000 ounces in April thus far, with two more weeks left in the month. Some sources are saying the Mint sold 63,500 ounces on Wednesday alone! That's more than they sold in the entire month of March. The U.S. Mint should easily exceed the high water market for the year set in January at 150,000.

Regardless of the big paper driven sell-off that began last Friday, the underlying fundamentals have not really changed. The G-7 economies are moribund at best and recessionary at worst. The central banks of these nations continue to respond with super-easy monetary policy and extraordinary accommodations at best.

A Time magazine article on gold's fall said, "let’s not mistake yesterday’s decline for the end of the gold bull run. [T]he issues confronting traditional currency have not been resolved." Truer words were never spoken; as clearly the debasement of the world's major currencies is an ongoing phenomenon.

Investor and author John Mauldin said earlier this week in his Things That Make You Go Hmmm... newsletter: "[T]he era of fiat currencies is approaching yet another 'end point' due to the way such funny money is being abused by governments and central banks." Mauldin goes on to add, "The only real viable alternative is gold."

While Cyprus is reportedly considering selling at least a portion of it's gold reserves to help finance its bailout, central banks in general remain net buyers of physical gold as part of a broad reserve asset diversification strategy that is unlikely to end any time soon. There is some concern out there that other sovereigns may be pressured to sell gold reserves under duress. Recall however that back in the summer of 2011, when the Greek crisis was in full swing, the Bank of Greece managed to scrape together enough money from somewhere to actually add to its gold reserves.

I don't believe meaningful central bank gold sales are a legitimate risk. If Cyprus does sell 10 tonnes of gold, it will never see the open market. Rather it will most likely be snapped up by one of the many gold hungry sovereigns.

Over the last couple days the yellow metal seems to be trying to form a base. While further tests of the downside can not be preclude, given the size of the paper market relative to the physical market. Conservatively, there are 100 paper ounces of gold out there for every ounce of the real thing. Yet physical buyers have largely been viewing the recent drop has a huge gift courtesy of that paper market. Our phones have been ringing off the hook and I have yet to process a single purchase order, where a client is selling.

Understandably, some clients want to have a conversation about recent price action and timing. However, since the drop began last Friday, they have all been buyers and I view that as perhaps the strongest indicator of all.

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Opinions expressed in commentary on the USAGOLD.com website do not constitute an offer to buy or sell, or the solicitation of an offer to buy or sell any precious metals product, nor should they be viewed in any way as investment advice or advice to buy, sell or hold. USAGOLD, Inc. recommends the purchase of physical precious metals for asset preservation purposes, not speculation. Utilization of these opinions for speculative purposes is neither suggested nor advised. Commentary is strictly for educational purposes, and as such USAGOLD does not warrant or guarantee the accuracy, timeliness or completeness of the information found here.

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Gold's Fundamentals Have Not Changed