Subscribe FOR ALL ACCESS TO Nichols On gold
Follow Us on Twitter @NicholsOnGold.com

Gold Sizzles

In case you hadn't noticed, gold prices have been surging to new all-time high rising to $1,878.90 an ounce in intraday trading on Friday, August 19th. Whether gold continues to skyrocket, settles into a new trading range around recent levels, or plummets as high prices discourage buyers and encourage profit-takers is anyone's guess. At some point, however, we will see a correction, perhaps a sizable one.  After all, even strong bull markets never move up in straight lines.  I would not be surprised to see gold stumble - falling back $100, $200, or even $300 - before prices begin working ...

Gold’s Long March Upward Continues

Despite gold's recent run up to new historic highs, I believe the yellow metal's price has far to go - both in future percentage appreciation and duration before the great gold bull market comes to its ultimate cyclical end. Right now, there is no evidence of a buying frenzy to suggest we are anywhere near a long-term top . . . but there are plenty of rock-solid fundamentals that suggest the market is healthy with plenty of room to move higher.  Moreover, the world economic and geopolitical environment remains very supportive - and seems likely to remain pro-gold for years to come. My ...

Please Login or Subscribe to view this Commentary.

Dog Days of Summer: Cooling Off for Gold Unlikely

The days and weeks ahead could be tumultuous for gold with the yellow metal's price primed to move one way or the other depending on news from European finance ministers, the European Central Bank, the Greek Parliament and, last but not least, the Fed's FOMC policy-setting committee and Chairman Bernanke's news conference later this week. Technically, gold remains range bound with good support, as we saw last week, between $1515-$1522 and overhead resistance in the $1545-$1555 range.  A break out in either direction, perhaps triggered by news of a more fundamental nature, could signal a ...

Please Login or Subscribe to view this Commentary.

Gold & Silver: The Long March Upward Resumes

Just a few weeks ago, gold and silver prices were soaring, almost beyond belief.  A growing chorus of investors, analysts, and financial journalists opined that the "bubble" in precious metals prices would soon pop - and many predicted an imminent long-term bear market was just around the corner. And, when precious metals prices tumbled - gold from its all-time intraday high of $1,576.50 on May 1st to an intraday low of $1,463.20 just four days later and silver from $49.59 on April 28th to $32.44 a couple of weeks later - pundits were quick to declare that the bubble burst . . . and many ...

Please Login or Subscribe to view this Commentary.

Up, Up, and Away: The Bullish Case for Gold

Keynote Speech by Jeffrey Nichols The New York Hard Assets Conference The recent correction in precious metals prices and mining shares has led some investors, analysts, and financial journalists to conclude we’ve already seen the ultimate bull-market peaks in gold and silver. I’m here today to tell you otherwise – but please don’t mistake me for a gold bug.Although, I believe quite strongly that its price will go much higher in the next few years, I don’t think there’s anything magical about the yellow metal. The future price of gold is a function of past and prospective world economic, ...

Please Login or Subscribe to view this Commentary.

Gold: Still Far to Go

As unrest and regime change threatens a swath of countries across North Africa and the Middle East, gold is reverting to its historic role as the preeminent safe haven - but it's price is just beginning to reflect the rise in political and economic uncertainty in the region and around the world. Frankly, given the political prospects for a number of strategic countries across the region, the possibility of long-term uncertainties, and the threat to oil supplies, I'm surprised gold has not performed better, especially in light of its own bullish market fundamentals. Inflation Pressures: ...

Please Login or Subscribe to view this Commentary.

GOLD 2011: Another Banner Year

Gold began the new millennium under $300 an ounce . . . and under a cloud of pessimism among even many of its most ardent advocates.  To mainstream investors and central bankers around the world, its two-decade decline (from 1980's all-time high near $875) confirmed the yellow metal was no more than a "barbarous relic." What a difference a decade makes!  Ten years later, gold had advanced to more than $1000 an ounce - to $1087.50 basis the December 30, 2009 London PM fix - for a gain of roughly 275 percent over the ten-year period. Gold - By the Numbers Gold's steep ascent continued in ...

Please Login or Subscribe to view this Commentary.

Gold and the Economy: Don’t Be Fooled

After reaching a new record high of $1,430.95 last Tuesday, December 7th, gold fell back quite precipitously, mostly on profit taking by institutional traders and speculators in "paper" derivative markets.  By week's end, the metal traded as low as $1,372 to register a loss of nearly $60, about four percent, from the all-time high. Economic news in the United States (of improving cyclical indicators and initial reactions to the President's deal with Congressional Republicans on tax policy and unemployment benefits), in Europe (of some agreement within the Eurozone on funding Irish debt), ...

Please Login or Subscribe to view this Commentary.

U.S. POLITICS, ECONOMIC POLICY, AND THE FUTURE PRICE OF GOLD

Gold thrives on political and economic uncertainty . . . and we've got plenty of that now that the Republican Party has seized control of the House of Representatives and narrowed the Democratic majority in the Senate.  What's more, the U.S. Federal Reserve, America's central bank, is adding to the uncertain political and economic landscape as it embarks on another large dose of monetary stimulus. Without a doubt, the new arithmetic on Capitol Hill -- along with the Fed's recent policy shift -- reinforces the bullish case for gold and raises my confidence that gold prices will rise to $2000 ...

U.S. Elections, Economic-Policy Prospects, and the Price of Gold

America's Congress is up for grabs in just a few days -- and world financial markets have a serious case of the jitters. No one knows for sure what the make-up of the U.S. House of Representatives and the U.S. Senate will be next year . . . but it's hard to imagine we won't be faced with more gridlock and more acrimony on Capitol Hill -- in short, a dysfunctional government that is incapable of dealing effectively with America's serious economic problems. With the liberal Obama Administration and a more conservative Congress at loggerheads, it is likely that America's central bank will, by ...

Please Login or Subscribe to view this Commentary.