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5 to 10 minutes old www.usagold.com --LIVE NEWS--
Copper and copper alloy surfaces kill norovirus, or stomach flu	19:32 UPI - Security & Terrorism
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Treasury stops energy firms claiming £900m via loophole	19:28 City AM
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Jonathan scores administration high on economy	19:24 Daily Independent
A Few Ideas to Chew On About Gold, Housing Stocks	19:21 Barron's Online - Funds
Wheeler eyes steps to arrest NZ dollar	19:17 TV3 News
Mining Group discovers second gold bearing structure at Tandawan	19:14 Proactive Investors - Australia
Japan Stocks Tumble At Open As Yen Rises	19:13 Fox Business - Technology
California Counties May Lose as Brown Shifts Health Costs	19:10 Bloomberg - Markets
30 minutes to 1 hour old www.usagold.com --LIVE NEWS--
RBI steps in after rupee falls to 10-month low	19:09 The Times of India - Economy/Finance
ECCB rules out currency devaluation	19:07 Trinidad & Tobago Guardian Online - Business
Copper Withdrawal Orders From LME Soar To Record	19:04 Zero Hedge
Europe remains threat to world economy	19:01 Jakarta Post - Business
Copper Users Squeezed as Glut Clogs Warehouse Lines: Commodities	19:01 Bloomberg - Markets - Funds
FOREX-Dollar remains under pressure against yen	18:59 Reuters - Economy
Fall in sterling may not help UK trade to bounce back, says Bean	18:58 City AM
Mining Group discovers second gold bearing structure at Tandawan in the Philippines	18:53 Proactive Investors - Australia
Sterling prepaid cards offer better rates than euro/dollar cards	18:52 Which?
BSP says peso's fall to 9-month low is market-driven	18:51 ABS-CBNnews.com - Business
Government will launch inflation-linked bonds worth Rs 1000 crore on June 4	18:49 The Times of India - Economy/Finance
IMF predicts 7.75-pct growth for China's economy in 2013	18:49 China.org.cn - Economy
China May inflation forecast at around 2.5 pct	18:49 China.org.cn - Economy
Decline in gold price leads to record demand in India	18:45 The Economic Times - Markets
Indian economy probably grew 4.8%	18:43 The Star Online
Copper mine plans partial ops	18:43 The Star Online
1 to 2 hours old www.usagold.com --LIVE NEWS--
OECD: Europe remains threat to world economy	18:37 Trinidad & Tobago Guardian Online - Business
No change for the euro: The crucial choice remains reform or break-up	18:36 City AM - The Forum
India probably world's 3rd largest economy: OECD	18:32 The Times of India
Economy Australia slips in competitiveness ranking	18:32 Sydney Morning Herald - Business
Brazil economic growth disappoints again	18:31 Reuters.co.uk - Regulatory News
Asian Stocks Decline as Japanese Exporters Drop on Yen	18:29 Bloomberg - Worldwide
Dollar falls to three-week low against yen	18:29 Reuters - Economy
ECB says surprised by sharp slowdown in inflation	18:28 EUbusiness.com
Tokyo: Nikkei falls below 14,000 after US stocks drop, yen firms	18:27 Business Times Online - Stock Markets
Japanese Stocks Open Down 3%, Yen Spikes, Bonds Greatly Unrotated	18:24 Zero Hedge
Australia slips in competitiveness ranking	18:23 The Age
Investigator Resources intersects 1,570g/t silver at Paris Project	18:23 Proactive Investors - Australia
Nalezny: Take a look at economic improvement in past 3 years	18:21 The Coloradoan, Colorado - Business
Brazil opts for steeper interest rate hike to curb inflation	18:21 Reuters.co.uk - Regulatory News
Nikkei falls below 14,000 after US stocks drop, yen firms	18:19 Reuters - Economy
Premiums on U.S. Mint Silver Coins Drop From 4-Year High	18:17 Bloomberg - Personal Finance
Fed's Rosengren sees pickup in US economic growth this year	18:11 Business Times Online - World
Commission warns of economic challenges	18:05 The Irish Times - Business
Indian HRC imports quiet on weak rupee, local price trends	18:03 Steel Business Briefing
Global economy on the rebound	18:00 Deccan Herald - Business
Yen Rises Amid BOJ Doubt as Global Stock Drops Spur Safety Bids	18:00 Bloomberg - Markets
Oil Fields Under Olive Groves Offer Italy Economic Boost	17:51 Bloomberg - Europe
US VP Biden lauds Brazil for its economic gains	17:50 The Boston Globe - Business
Government will launch inflation-linked bonds worth 1000 crore on June 4	17:49 The Times of India - Economy/Finance
Brazil Raises Rate More Than Expected as Inflation Hurts GDP	17:43 Bloomberg - Markets - Emerging Markets
Arc Exploration's gold search heads to Far North Queensland	17:43 Proactive Investors - Australia

Gold Firms on Weaker Dollar and Stocks

by Peter A. Grant

May 29, AM
(from USAGOLD.com) --

Gold remains generally consolidative, underpinned by a weaker dollar and a retreat in stocks today and continued evidence of strong physical interest, particularly in Asia. Weighing on the yellow metal is the dominant up-trend in equities, which has prompted significant redemptions in gold-backed ETPs, along with persistent expectations that the Fed may start tapering accommodations sooner rather than later.

In making note of continued strong physical demand in Asia, Marcus Grubb of the World Gold Council said, “Even if ETF outflows continue in the U.S., it is quite likely that the gold previously held in ETFs will find a ready market among Indian, Chinese and Middle Eastern consumers who are taking a long-term view on the prospects for gold.”

What Grubb is referring to is the movement of physical metal from weak hands in the West, to strong hands in the East. This is a theme we've discussed in the past; and what's most significant with regard to supply, is that once it has moved from West to East, it probably is not coming back.

In a DMR from earlier in the month, I theorized that once the metal has been transferred to Asia it likely to "stay off the market for decades, perhaps generations. Asians tend to buy physical gold as a form of long-term savings. They generally don’t sell when the price goes up, nor do they sell in a panic when the price drops. If it moves at all, it is usually gifted among family members and friends."

There will undoubtedly be a point where Western investors want that gold back, perhaps driven by the emergence of inflation risks, or a faltering of the stock market or some new and unforeseen black swan. At that point, investors in the West may — like Asian investors — demand the real thing, but where will the supply come from if those in the East aren't selling?

Even if Western demand manifests in the form of renewed interest in paper gold, those Trusts are going to have to find the metal somewhere. And that may prove rather difficult.

In a Forbes article, John Embry of Sprott Asset Management believes, “that the pricing mechanism of the gold and silver markets will swing to the physical market, which cannot be manipulated, because, basically, either you’ve got it or you haven’t.”

"Either you've got it or you haven't." Truer words were never spoken. Do you got yours?

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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 Firms on Weaker Dollar and Stocks