http://www.kitco.com/charts/livegold.html

cheers GF.

Ideally set up for monday now.

Gold gone over $900..

http://www.bloomberg.com/apps/news?pid=20601012&sid=aNEEeJPVd7uc&refer=commodities

Author: Dorothy Kosich 12 Jan 2009

RENO, NV -

CIBC World Markets has increased its 2009 gold price prediction from $900/oz to $950/oz and introduced a 2010 gold price of $1,050/oz.

In a recent report, CIBC metals analysts Barry Cooper, Brian Quast, and Cosmos Chin said, We further expect pure gold plays will outperform gold/base metal mixed plays in the current environment especially since the latter has not suffered full adjustments to the lower pricing regime for copper and zinc."

The analysts asserted that gold equities are 40% undervalued relative to trading levels in the first six months of 2008.

"The events of 2008 should have pushed gold to higher levels than $1,000/oz in our opinion," the analysts said, citing the collapse of Fannie Mae and Freddie Mac, multiple bank failures, $50 billion in swindles, the collapse of the Big 3 automakers, and the downfall of the housing market. Instead, they noted, gold performed as "what every insurance policy does; it maintained the owner's wealth and certainly outperformed all other commodities during the crisis."

Suggesting that recession "hollow" will last two years, the analysts forecast that gold will also show strength for those two years. "It is our contention that regardless of the economic conditions, it is the uncertainty factor that drives gold's appeal," they said. "That uncertainty factor we believe is at an all-time high and unlikely to dissipate in 2009."

Gold Climbs to Three-Week High as Fund Demand Reaches Record

By Nicholas Larkin and Stuart Wallace

Jan. 23 (Bloomberg) -- Gold advanced to a three-week high in London as investors increased holdings of the metal on concern the global recession will deepen.

Assets in the SPDR Gold Trust, the worlds biggest exchange- traded fund backed by bullion, expanded 1.6 percent to a record 819.11 metric tons, according to the companys Web site. Stocks fell across Asia and Europe today, following declines in the U.S. The U.K. government confirmed the country is in a recession as the economy in the fourth quarter shrank the most since 1980.

Given the ongoing deterioration of the global economies and declining risk appetite of investors we anticipate further safe-haven related inflows through the ETFs, James Moore, an analyst at TheBullionDesk.com in London, wrote today in a note.

Gold for immediate delivery climbed as much as $22.65, or 2.6 percent, to $879.65 an ounce and traded at $875.56 as of 11:50 a.m. in London. The metal has advanced 3.8 percent this week. February futures rose $17, or 2 percent, to $875.80 in electronic trading on the Comex division of the New York Mercantile Exchange.

The metal rose to $873 an ounce in the morning fixing in London, used by some mining companies to sell production, from $860 at yesterdays afternoon fixing. The commodity is now little changed this year after sliding as much as 9 percent.

The SPDR holdings are equal to about four months of global mine production. Bullion held in exchange-traded funds climbed to a record 1,190 tons last year, the World Gold Council said on Jan. 20.


Investment demand is the most important factor in the gold market at the moment, UBS AG analyst John Reade said today in a note. Over the past year, ETF inflows have accompanied this strong physical investment demand and even in spite of the strength of the U.S. dollar, we see no reason for this to change.

Europes manufacturing and service industries contracted for an eighth month in January. Initial claims for unemployment benefits matched a 26-year high in the U.S. last week, while housing starts slumped to a record in December.

Despite the stronger dollar, which should be negative for gold, the strong investment demand is the main factor, said Eliane Tanner, an analyst at Credit Suisse Group in Zurich. There is a risk from the stronger dollar over the short term that could trigger some selling.

Weak Pound

The dollar gained as much as 1.5 percent against a basket of six major currencies. Gold typically moves in the opposite direction to the greenback. Still, a stronger dollar benefited investors holding gold in sterling and euros. Bullion reached a record 648.48 pounds today and touched a three-month high of 687.50 euros.

ING Groep NV raised its 2009 forecast for gold to $800, from $750 previously. The silver estimate increased to $11 an ounce, from $10.50, while the platinum outlook strengthened to $900 an ounce from $850.

Silver for immediate delivery rose 1.5 percent to $11.58 an ounce today in London, platinum added $2.75, or 0.3 percent, to $931.25 an ounce and palladium retreated $1, or 0.5 percent, to $184.25 an ounce.

To contact the reporter on this story: Stuart Wallace in London at swallace6@bloomberg.net; Nicholas Larkin in London at nlarkin1@bloomberg.net

Last Updated: January 23, 2009 07:19 EST

cracking start to the week...

Peter Hambro delivers 36% gold production trise
MoneyAM

Peter Hambro Mining reports a 36% rise in gold production for 2008, to 393,600 oz, and is forecasting between 460,000 oz and 510,000 oz in 2009.

The group says its total attributable gold production - consisting of 100% of production from the groups subsidiaries and the relevant share from joint ventures - was at the upper end of its 2008 production target of 350,000-400,000 oz.

Gold production from the Pokrovskiy mine was up 13% on 2007 and beat its production target by 19%. Production from the Pioneer mine started in June June and yielded 72,900 oz by the end of the year, against a target of 72,000 oz.

Production from alluvial operations increased by 38%, while attributable production from joint ventures fell 15%.

The group's average realised gold sales price of $845/oz was 26% up on 2007.

Executive chairman Peter Hambro, said, 'I am very pleased to report the 36% increase in annual attributable gold production which we achieved in 2008. Yet again the company has met its production target.'

He added, 'Successful realisation of the group's 2008 expansion plans instills confidence in the group's 2009 production target of 460,000 to 510,000 oz.'

Gone through resistance at 440p.

And gold sp on the rise...

http://www.kitco.com/images/live/gold.gif

POG looks good but can't make my mind upo whether or not to commit more money to ther market ..... btw, was glad to see PFC securing a massive contract ..... i think that is a cracking company though i do not currently hold

Yep cyners Im the same with PFC its on my watch list and been in and out on a few occasions just lately.

I suppose with POG its a case of wether you think the sp of gold will stay around or move up over $900 or fall.

Pluses,

forced sellers ie, hedge funds now exhausting supply of stock to market

ETFS demand rising

Currencies in general look weak and so do economies.

minuses,

physical demand from india poor.

Im of the former, but then I would be and added twice this morning.

Makes for an interesting decision.

one could always take out a bullion position .... and talking of which ditto on oil feels tempting

Looking at the pog chart aswell it would appear that we have a gap up all the way to circa of 800p without any resistance to navigate.

Bullion position, no not for me, ill leave that to the experts like yourself.

Strictly stocks and stock hedge positions for me cyners.

WOW, when I said i thought there would be positive movement here today i didnt mean to the tune of UP 24%.

If gold keeps its present sp or more, pog could be on a charge to circa of 800p fairly quickly and im supposed to be a pessimist.

Good luck with POG I'm out at the mom.

Still think theres a lot left mitzy.

Interesting read..

Gold Jumps as Government Spending Boosts Inflation-Hedge Demand

By Pham-Duy Nguyen

Jan. 26 (Bloomberg) --

Gold rose to the highest closing price in almost five months in New York on speculation that government spending will spur inflation, boosting demand for the precious metal as a hedge. Silver also gained.

Investment in the SPDR Gold Trust, the biggest exchange- traded fund backed by bullion, rose 4.7 percent last week to a record 832.6 metric tons. In 2008, the metal advanced for the eighth straight year as U.S. equity and commodity indexes lost more than 30 percent.

Massive injections of liquidity into the global banking system will serve to drive gold prices higher, said Dennis Gartman, an economist and the editor of the Gartman Letter in Suffolk, Virginia.

Gold futures for April delivery climbed $13, or 1.4 percent, to close at $910.70 an ounce on the Comex division of the New York Mercantile Exchanges Comex division, the highest for a most-active contract since Aug. 1. The price reached $918.20, the highest intraday price since Oct. 10.

Silver futures for March delivery gained 17 cents, or 1.4 percent, to $12.11 an ounce. The metal slumped 24 percent in 2008, while gold gained 5.5 percent.

U.S. President Barack Obama today urged swift congressional action on an $825 billion recovery package. Lawmakers already have spent $350 billion of a $700 billion financial-rescue fund to shore up lenders.

Banks worldwide have posted more than $1 trillion in credit losses and writedowns related to the credit crisis. The Federal Reserve has slashed its benchmark interest rate to almost zero percent to spur growth as the yearlong U.S. recession deepened.

Gold may average $975 in the second quarter, possibly topping $1,000, on demand for a store of value, Deutsche Bank AG said in a report on Jan. 23.

The eventual stimulus plan will weaken the dollar to support gold, Deutsche Bank said.

The dollar fell as much as 1.4 percent against a weighted basket of six major currencies.

To contact the reporter on this story: Pham-Duy Nguyen in Seattle at pnguyen@bloomberg.net.

Last Updated: January 26, 2009 14:36 EST

Interesting piece to read-

New Trends for 2009: Are Commodities and Gold Regaining Strength?
by: R. Raynovich January 27, 2009

This Last week saw some very interesting turns in the market. Stocks displayed some renewed weakness. Treasury bonds sold off violently and gold broke out of a consolidation pattern to the upside, taking out the $880 mark which has served as a ceiling through much of its correction in the 2H of 2008.

Its important to note that while gold (GLD) is off the highs in US Dollar terms ($1,000), it has broken out to new highs in almost every other global currency the UK Pound and Euro included. This is indicative of a strong bull market in gold and also shows that global confidence in world currencies is sinking as central banks resort to the printing press to solve our problems. Bad move, considering the printing presses are what got us into the problems in the first place.

I believe the only reason that gold has not made new highs in 2008 in U.S. Dollar terms is because of the artificial flight-to-quality into the US Dollar, which is most likely a short-term phenomenon. I am gaining new confidence in the case for the gold bull market to enter its strongest phase: panic buying. Heres a fact thats not often recited by the gold skeptics: We are now in the eighth year of a strong gold bull market, which is likely to continue for, in my estimation, at least another three years. Gold has averaged a 16% annual gain in Dollar terms for the past eight years. Clearly it is the best performing asset class in the decade. You might ask if its getting late in the move, but the fundamentals are still supportive.

The gold bull market is reflective of how dependent our governments have become on creating and pushing debt on its people a trend that is accelerating. Because of the breakout of the gold and strength in mining stocks, I would recommend at looking to buy some of the mining and exploration stocks including RGLD, PAAS, NEM, and AUY. You can also buy a basket of mining stocks with GDX. This sector was crushed in the October/November sell-off, but it is now bouncing back violently with mining asset prices being supported by the moves in gold and silver. This will be a careful area to watch because these stocks have established early leadership in 2009. You can read more details about mining stocks and track my investment choices at Futures Fanatic.

Another interesting trend to watch is that commodities are displaying renewed strength, especially in relation to equities. Last week commodities and hard assets outperformed equities. Could this be a sign of a trend that will be established in 2009? It is something that bears close watching. The chart below shows the potential for an interesting turn in the commodities sector

Added more POG on a pullback to 486p, dont think we shall see that again for a while.

Interesting to note that recognia (Software TA) have a price target of 730p to 797p on POG.


Peter Hambro Mining PLC (POG.L:LSE)
Industry: Metals and Mining

More...

Event Date: 26 Jan 2009
Opportunity Type: Intermediate-Term Bullish
Close Price: 503.00
Target Price Range: 730.00 - 797.00

Price Period: Daily
Volume: 1,165,263
Pattern Duration: 85 days
Inbound Trend Duration: 86 days


26 Jan 2009 Head and Shoulders Bottom Intermediate-Term Bullish 503.00 730.00 - 797.00

26 Jan 2009 Commodity Channel Index Short-Term Bullish 503.00 n/a

26 Jan 2009 MACD Short-Term Bullish 503.00 n/a

26 Jan 2009 Triple Moving Average Crossover (4-day 9-day 18-day) Short-Term Bullish 503.00 n/a

Nicely into the blue now and hopefully another profitable day.

Up we go over $900 again.