Replies to post #222 on PHLX Gold/Silver Sector (XAU)

[long-gone]

To:terry astle who wrote (249)
From: John Barendrecht Sunday, Jul 6, 1997 11:34 PM
Respond to of 80032

HK gold opens sharply lower, extends London losses
HONG KONG, July 7 (Reuter) - Hong Kong gold opened sharply lower on Monday, extending its lower performance in London on Friday, dealers said.

Bullion opened at US$321.80/322.30 an ounce against London's US$324.25/75 close on Friday.

``Gold slumped to a 12-year lows last week on sales by the Australian central bank,'' said a dealer at a local securities house. ``Sentiment continues to be bearish and the price of gold could go down further near term.''

``There's been continued Asian selling this morning,'' another dealer said. ``I think the price of gold could likely try the downside at US$320 levels later.''

Local gold opened HK$23 lower at HK$2,984 a tael.
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To:Bearcatbob who wrote (245)
From: John Barendrecht Monday, Jul 7, 1997 12:03 AM
Respond to of 80032

TOCOM midday gold futures slip on long-liquidation
TOKYO, July 7 (Reuter) - Yen-based Tokyo gold futures were lower across the board by midday on Monday, on heavy long-liquidation by private investors after gold slumped to around 12-year lows in London on Friday, reflecting Australian central bank gold sales, traders said.

Gold prices ranged from 16 yen to 22 yen per gram lower at midday. Benchmark June was off 16 yen at 1,156 yen.

``Private investors, who face margin calls after the benchmark June fell below 1,100 yen, rushed to liquidate their long positions. Trade houses sold spot gold in arbitrage dealings,'' one trading house trader said.

The yen's firmer tendency against the dollar also put a downward pressure on yen-based gold prices, the traders said.

Spot gold was quoted at $321.00/321.50 per ounce at 0237 GMT, against $324.45 in London on Friday.

Traders said yen-based gold futures and spot gold prices have more scope to dip in the near-term.

``Lower gold prices may stimulate physical gold demand in Japan, but that would not enough to stem the downward slide in gold,'' the trader said.

Platinum group metals (PGM) futures were mostly firmer at midday, reflecting the tightness of the physical market.

Traders were watching whether Russia resumes PGM exports to Japan in the middle of this week under recently signed term contracts with Japanese clients, as they informed the clients last week.

Benchmark June palladium was up 11 yen at 540 yen at midday. Benchmark June platinum was up six yen at 1,353 yen.

Benchmark June silver was off 3.0 yen per 10 grams at 165.6 yen.
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