Chart: Gold's daily chart as at August 12th (source: BullionVault.com)
Gold may benefit from the recent setback in crude oil prices, which will help to alleviate inflation fear at the major central banks. In addition, there is rising economic pressure on the ECB and BoE to lower their real interest rates, which is bullish for gold by increasing the supply of fiat money.
For those who are interested in investing in gold locally, you can either buy gold coins or invest via gold saving passbook. The latter method would dispense with the need to hold the physical gold but the mark-up by the selling institutions would be higher. You can buy gold coins from either UOB or Maybank. To invest via gold saving passbook, you would have to go through Maybank. The mark-up for buying & selling of gold coin is about 3.1-3.2% while for investing in gold via the passbook, the mark-up is 8.0%. To check out the Gold Prices at UOB, go here & click on "Gold Prices". To check out what Maybank has to offer, go here.
Public Bank also has unallocated gold for sale, ie thru the form of a passbook, similar to Maybank. Rates are very competitive too.
ReplyDeletePhysical gold are difficult to buy cos' they are always in good demand despite carrying a premium of abt 3% over the passbook investment.
Have anyone thought about doing online buy/sell thru' website to capture real time prices.? Can try www.kitco.com
Physical gold or passbook prices usually capture spot gold market prices at end of precceding day. And opportunity to profit from a lower price may have been lost.
Yes, gold may trend upwards given the factors you mentioned.
Keep up your good research work.
Hi remnant613,
ReplyDeleteThanks for the info on Public Bank's Gold Investment Account. It has the convenience of Maybank's gold saving passbook but at a lower mark-up of only 3.4% (which is nearly comparable to buying gold coins via UOB or Maybank). For more info, go to http://www.pbebank.com