Gold Bottom Is In! India Now In A Gold Buying FRENZY!

Bloomberg News
Indian Jewelers Offer Premium on Gold Imports as Demand Surges
By Pratik Parija
April 23, 2013

A rush by Indian consumers to buy gold jewelry and coins after the biggest plunge in prices in three decades is prompting jewelers to offer premiums on imports as traders and banks run out of stockpiles, a trade group said.

Jewelers in big cities are paying as much as 800 rupees ($14.73) per 10 grams (0.02 pounds) while retailers in some remote areas are paying about 1,200 rupees per 10 grams as a premium, Haresh Soni, chairman of the All India Gems & Jewellery Trade Federation, said by phone today.

Buyers are flocking to jewelry stores and bank outlets to buy ornaments, coins and bars ahead of India’s main wedding and festival seasons after gold slumped to a two-year low. Standard Chartered Plc’s gold shipments to India last week exceeded the previous record by 20 percent and were double the week before, London-based analyst Dan Smith said by phone today.
Gold has declined 15 percent in London trading this year, completing its descent into a bear market, and fell the most since 1983 in the two days through April 15 on growing speculation that a recovery in the U.S. will curb demand for the metal as a store of value.

“There is scarcity of raw material in the market and demand is good now,” Soni said. “We don’t have a choice but to pay a premium to get the raw material on time. We normally don’t pay premium on imports.”

Overseas purchases of gold may jump 36 percent to 305 metric tons in the three months ending June from 225 tons a year earlier, Mohit Kamboj, president of the Bombay Bullion Association Ltd., said in a phone interview last week. Imports may climb as much as 20 percent this month from year earlier, he said.

Banks, Agents

“Banks and agents don’t have much gold left to sell and jewelers are buying at a premium to meet the rise in retail demand,” Kamboj said. “Small and retail investors are buying more coins and bars. Looking at the rate at which people are buying, imports are bound to rise.”

Futures on the Multi Commodity Exchange of India Ltd. (MCX) tumbled to as low as 25,270 rupees per 10 grams on April 16, the cheapest since September 2011. The June-delivery contract traded 0.3 percent lower at 26,275 rupees by 6:55 p.m. in Mumbai.

The Akshaya Tritiya festival on May 13 is considered by India’s more than 900 million Hindus as the traditional day to buy precious metals. Gold is bought during festivals and marriages as part of the bridal trousseau or gifted in the form of jewelry by relatives. The main festival season runs from August to October followed by the wedding season from November to December and from late March through early May.

India has tripled import taxes from as low as 2 percent in January last year after the current-account shortfall, the broadest measure of trade, widened and the rupee slumped to a record against the U.S. dollar. The current-account deficit widened to $32.6 billion in the last quarter of 2012.

CEO Of Gold Bullion International On Why Now Is The Time To Buy Precious Metals

Hard Assets Alliance Team

April 05, 2013

Steven Feldman had a distinguished banking career at Goldman Sachs, but he's now devoting his efforts to Gold Bullion International.
In this exclusive interview, Feldman discusses the SmartMetals platform and gives his outlook for precious metals.

http://www.youtube.com/watch?feature...;v=icGXLc9MnFc

How the bankers crashed the gold market – again!

Last week’s take-down of the gold price has huge parallels with December 2011 – even down to the freezing of computer gold trading systems at a critical time in the process.



Author: Lawrence Williams
Posted: Tuesday , 23 Apr 2013
LONDON (Mineweb) -
There have been all kinds of theories as to the cause of the huge drop in the gold market over last weekend, and the best I have seen to date has come from Bill Downey – proprietor of the internet site www.goldtrends.net and long term student of the gold and silver markets.
Interestingly, the driving down of the price may not have directly involved the Fed (although there could perhaps have been some collusion) – but relates initially to a drawdown in physical stocks of gold on COMEX and in the JP Morgan vaults (and perhaps others too) to levels which could seriously damage the short position holders in the metals. While the analysis is yet another theory on what actually happened, its parallels with the gold price take-down of December 2011 are too close to be ignored – even down to the assumed possibility of a total breakdown of the computer systems allowing trading of physical gold at a critical point in the price action. Too unlikely perhaps to be a coincidence.
The crashing of the gold price would probably not be possible without the computer trading systems which dominate the market today with trigger points for stop-loss trades which come in at specific levels – and themselves drive the price down in a continuing spiral once the key trigger points are reached. It is the market manipulation to bring the prices down to these trigger points which is key to the whole scenario.
As Downey puts it, the market controllers would thus “need to devise a plan that would collapse the market and trip up all the stops at the correction lows in gold of $1525 thereby setting off the stop loss orders under this important market low. And what if the plan included a way to stop the physical market from purchasing gold under 1525 while that correction was underway?”
The first move would be to spook the gold market, perhaps with disinformation – but key this time was an indication from the FOMC minutes that the Fed might be considering ending QE sooner than previously indicated. This was leaked earlier than usual, whether by design or coincidentally, who knows – but it created the initial trigger for the big gold price take-down.
Downey goes on “You start the ball rolling with disinformation and early leaks and surprise with potential policy change considerations at the Federal Reserve level and you follow it up with a potential huge gold supply story that could come to the market”
In this case the story which triggered the next fall in the markets was the enforced Cyprus gold reserve sale one – which may well have been pure disinformation given that the Cyprus central bankers say this had not been discussed at all!
And then the final blow to the market was massive selling on the futures market. One report talks of a single 400 tonne sale.
Downey again “You've shaken up the market and the selling begins and gets to within 20 dollars of two year lows where all the stops are and then you bring it down to where all the stops start getting tripped up and you just sit back and watch the market do the rest. Finally, you shut off the physical system and stop gold buying and at the same time you force physical dealers to sell the futures to hedge themselves.”
This appears to be what happened even down to total computer shutdowns on the Friday afternoon which prevented physical gold trades being accomplished in this manner, (although telephone trades could still be made) – which could possibly have halted the decline. Unable to trade and fearful of margin calls coming due at market opening on the Monday, many traders were forced into panic shorting of the futures market to protect themselves, all contributing to the gold freefall - or so Downey's theory suggests.
One might think that the computers freezing at a critical time might have been coincidental – but the same happened in the previous big gold price take-down in December 2011. Maybe it was just volume related, but it is certainly suspicious. Of perhaps some comfort to those who have kept their gold holdings – or have been buying on the dip, following the December 2011 crash gold rose by $270 over the next two months given the then shortage of physical metal. This time around the volume of buying at the lower gold price levels appears to have been enormous which is likely to exacerbate any precious metals shortages which may have developed. Thus it may not be ridiculous to anticipate an even greater bounce back this time around.
Downey reckons that in reality there are only two things that can bring gold down. A manipulated event like we just saw or a liquidity squeeze like we saw in 2008 where an immediate need for cash forced the liquidation of all assets. “Can it happen again?” he says – “ Yes, but this time it would be on a global scale and much more powerful than the Lehman crisis of 2008.”
This article is but a brief summary of Downey’s thesis on what actually happened to gold over that fateful weekend. To read his full analysis click here. It makes for fascinating reading.
Be aware though that this is a theory of what happened, but one which fits the scenario well. Other analysts, like Doug Casey for instance, do not subscribe to the overt manipulation theory, but would reckon that a whole combination of events occurring over the past two weeks could have had the same effect. Whether the real truth will ever come out is anyone's guess.

http://www.mineweb.com/mineweb/conte...7188&sn=Detail

http://silverdoctors.com/falling-int...ft/#more-25557

Why $50,000 Gold?

Posted April 19th, 2013 by Jim Sinclair & filed under General Editorial.

My Dear Extended Family,

I have a huge number of emails all asking why $50,000 gold. The answer is that the bullion market is in the process of emancipation of the gold price from the fractional paper gold system. The actualization of the real price of gold will be its emancipation from the prison of paper gold. The emancipation will occur because there is no gold whatsoever behind the deluge of paper we have just witnessed.

The central banks have most of their gold under lease. That gold was leased by gold banks and then sold for cash. That cash has been dispersed.

There are no funds to re-buy the gold that the leases call for upon maturity. The central banks cannot lease out any more gold. The entire fractional gold paper scam sits upon gold leases that are exploding right now.

The attempt to hide reality by the can kick of pummeling the gold market with paper is going to fail miserably.

Every time you buy one gold coin you consume more physical. It is the physical market that is going to emancipate gold. Gold then will be free to react to not only the debt due to foreigners, but all debt.

Please take your time to watch the Canadian documentary on gold here on JSMineset.com. It exposes the fragility of the fractional paper gold system that is now burning down because leases cannot be repaid to central banks.

The real gold show is only starting. For a great deal of what the Free-Golders think, they are right.


Sincerely,
Jim

Market Wrap: Gold & Silver Surge As Indian Demand Doubles, Jim Rogers To Buy At $1300


http://www.hardassetsinvestor.com/market-monitor-archive/4744-market-wra...

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There may be a paper market that trades virtually every second, but if you want real physical gold it is becoming harder and harder to come by. .....


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http://kingworldnews.com/kingworldne...Continues.html

http://rt.com/shows/keiser-report/ep...ax-keiser-331/

Check out the comments section. Physical is moving. The paper price .... well, that's a whole 'nother story.

Your Insights From Around the World

Filed in News by SRSrocco on May 19, 2013 • 8 Comments



(BANGKOK: Many traders put $300,000 at a time on the counters of the hundreds of gold shops here in the city). We want to hear what is going on in your area of the world… whether it’s about precious metal availability or premiums, inflation, political events, important local news, employment/job situation, etc.

If you would like to share an insight that you believe is important, you can place it in the comment section of this post.
The inspiration to start this new blog post came from reading one of the comments on this site about the huge demand of gold buying taking place in Bangkok.

This is what roger had to say:

“I live in Bangkok and with the fall in price of gold yet again many of the small gold shop have removed ALL their gold bars for sale. People are buy what evers in the shops. It truly is a constant free for all. At some point the shops will be empty of gold bars. Here owning paper money is only for trading. NO ONE keeps their wealth in paper only gold.

After the weekend trade in the many businesses here the Chinese traders are queuing to exchange their Bahts for gold. Many traders put $300,000 at a time on the counters of the hundreds of gold shops here in the city.. Buying gold is about as difficult as buying a hot dog from a vender on a street corner in America .. NO name is asked for. NO asking where ya get the money from, NO ,where ya live , NOTHING WHATSOEVER. No paperwork . The ONLY words from the shop keepers is Thank for using my shop.
This is the land of the free.”
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Again, it would be nice to know what important events or updates are taking place in your town, village or country. This post will be updated every week. If you have something that you think is interesting, please share it with us.

http://srsroccoreport.com/your-insig...und-the-world/