At Monday morning in London, the United States of America’s Dollar had a 0.7% over its last week’s close and climbed the charts to under $1497 per ounce. The stocks and commodities’ prices had been a total commotion as the Greek sovereignty is under a threat of being rolled or so said the rumors on the market.
Be it a rumor or not the prices are fluctuating like hell and the world’s gold price is still steady although predictions said that it has a tendency to plummet one of these days. Gold investors needs not to worry however as the precious metals is a much safer asset compared to any currency or any commodities in such turbulent situation in Europe especially after the Greek bankruptcy which would even make Zeus shed a tear (which is of course a silly thing to say as Grecian gods don’t shed tears).
The sharp drop of gold prices that is happening recently is being used by a lot of market players to buy cheap gold and seeing that the Greece crisis is coming to an ease (although still presents some danger to some extent) more buyers of gold bullions are most likely to fill their carts more with gold to anticipate a higher increase in gold coin prices in the future. Things can still turn around if the few proposals being offered by some European countries to help Greece can get the country out from its current hell hole. A proposal offered by the French stated that the holders of Greek bonds are faced with two options which are to roll over 90% of owed funds (at the very least) into a new 5-year bonds or to get 30% of their funds back and have 20% of those into zero coupon bonds as an emergency precaution while having the other 50% to go into the 30-year Greek bonds.
Despite the European monetary crisis experienced mostly by the Greek, the gold prices remain steady although there are massive withdrawals by gold investors in May in which gold was withdrawn for as much as $3.8 billion while silver is withdrawn as much as $1.7 billion and dropped 21% throughout the month of May. News concerning gold prices happens in Iran as they are refusing the payment of their oil supplies by India with Rupee and this could result in the halting of oil supplies from Iran to India. The Iranian media had thus speculated that their government may demand the payment to be paid by gold bullions.