The day's price movements

pmbug

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Gold was the only asset standing tall in the sea of red on Wednesday morning as stocks, commodities, and cryptocurrencies plunged. The overall trend in gold has shifted to the bullish side after the precious metal bottomed out at $1,680 at the end of March and started its approach to the $1,900 an ounce level.

JPMorgan pointed out that the retreat in bitcoin coincided with new inflows into gold.

"This suggests that institutional investors appear to be shifting away from bitcoin and back into traditional gold, reversing the trend of the previous two quarters," analysts led by Nikolaos Panigirtzoglou said in the report.
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We'll see if it's really a trend or not. Bitcoin looks like it may have bottomed and is consolidating for the next leg up. Hedge funds, institutions, etc. are chasing yield. TPTB won't let gold run unabated, so I have to think that when Bitcoin begins it's next leg back up, it's going to attract the yield chasers again.
 

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One-day swings of 31%. A slump amid a jump in U.S. inflation. Ever more critical regulatory scrutiny. Bitcoin delivered all of these in the past few days, undermining its claimed role as a portfolio hedge rivaling gold.
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“For all of 2020 and pretty much up until April, Bitcoin has been the best performing asset, so it wasn’t hard to say it was an inflationary hedge given all the stimulus that keeps getting pumped into the global economy,” said Edward Moya, senior market analyst with Oanda Corp. “This week’s crypto plunge and rebound was a wake-up call. Bitcoin will still act like a leveraged risk-on trade and not a proper inflation hedge.”
Bitcoin volatility rising as gold's drops

Bitcoin’s 60-day realized volatility is far higher than that of gold and currently pulling away. ...

Gold, meanwhile, is heading for a third weekly gain, bolstered by a weaker dollar and wavering Treasury yields, which boost the allure of non-interest-bearing bullion. It’s also benefiting from the crypto crash, according to Brian Lan, managing director of Singapore-based dealer GoldSilver Central Pte.
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I know Bitcoin was getting a lot of interest from institutional investors before 'Black Wednesday'. I wonder how much gold is benefitting from institutional investor interest after the crypto market crater.
 

rblong2us

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Well from a low of $1700 at quarter end (ie end of March) weve seen a steady climb of $200 in around 7 weeks.
Bitcoin for maximum adreneline, Gold for a good nights sleep ...........

Yeah' perhaps it is a generational thing (-;
 

rblong2us

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Blimey ! gold down US$ 100 in under a week and not much comment anywhere .............

Hopefully we get ignored when it goes up in similar fashion
 

pmbug

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Well, if Basel 3 is a real thing, I expect some volatility ahead of the July and Jan deadlines. I don't know exactly how this is going to play out but it would seem that some bank trading desks need to liquidate short positions. Maybe they are getting some help to do that.

Then again, maybe folks are moving away from the paper markets to the physical. I wonder what the trading volume looks like.

The spot chart looked funny yesterday - going flat for several hours like no one was trading.
 

rblong2us

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Hmm half year end and Basel 3 in a few days time ...........

Yes the two combined could be something the short holders would be very pleased to see prices down for.
 

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Looks like we are through the low that we might expect from half year end and any Basel 3 requirements ....
 
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