Gold and silver surge: Why bullion coins are not melted down

Kitco Media
By CPM Group
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In this presentation, Jeffrey Christian of CPM Group provides a market update on gold, silver, platinum, and palladium while offering perspective from India, one of the world’s most important centers for precious metals demand.

He discusses gold’s move above $3,700 and silver’s strength around $41–$42. While short-term pullbacks to $3,400 gold or $40–$38 silver remain possible, the broader political and economic environment continues to support higher prices.

Jeff also looks at India’s growing role in fabrication demand for gold, silver, and platinum group metals, the latest U.S. inflation and interest rate data, and why fears of a collapsing U.S. dollar are misplaced. He also discusses silver bullion coins and inventories, explaining why most remain in coin form rather than being melted down.

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CPM Group

CPM Group is a commodities research, consulting, financialadvisory and commodities management firm providing independent research,analysis and advisory services related to commodities markets, corporate andproject finance, and the financial management of exposure to commodity orientedinvestments.

We started our business in 1986 predicated on the idea that commoditiesresearch and advice is best delivered by independent experts who do not work forbanks, brokers, mining companies, or any other entity that has interests thatcould conflict with the best interests of the clients receiving the research,analysis, and advice.

All of our work is driven by fundamental commodities research and economicanalysis. As we undertake our research into individual commodities markets wegather a tremendous amount of information and develop an enormous body ofextremely high quality, unbiased analysis of the markets and the companies thatare involved with individual commodities. The outputs of our research andanalysis take the form of research reports, specialized and targeted consultingrelated to these markets, financial advisory services ranging from corporate andproject finance structuring to equity introductions, and managing specificcommodities and investment positions for clients.

CPM Group continues to demonstrate the economic value and financial worth ofsuperior research, information, and analysis. Our research is based onmicro-economic analysis of the individual components of each commodity market,wedded with a top-down macro-economic analysis of the global trends affectingthese markets. We apply the results of that analysis to our research,consulting, and advisory services.

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