In this presentation, Jeffrey Christian of CPM Group provides a precious metals update. He discusses the gold price outlook, the silver market, ETF investor selling, and Russian central bank gold reserves. He also covers counterparty risk and weakness in platinum and palladium.
Gold is trading near $4,150 and continues to test the $4,100 area, while some investors and central banks are waiting to see whether prices break below $4,000 before returning as buyers.
Jeff reviews gold ETF data showing that investors sold approximately 2.1 million ounces during June, helping to explain the recent price decline. He also examines Russian central bank gold reserves, noting that Russia sold gold during ten of the past 12 months and that its reserves have fallen to roughly 72 million ounces.
The silver market update covers silver trading near $60, the possibility of a move toward $55, and why CPM Group is less convinced that investors waiting for $40 or $45 silver will get those prices.
Jeff also discusses a precious metals dealer bankruptcy involving approximately $40 million in customer payments for metal that had not been delivered, along with additional money owed to customers who had sold metal to the dealer. He explains why investors must understand their counterparties when purchasing physical gold and silver.
The presentation concludes with comments on platinum group metals, weakening auto demand, political misinformation, Russia and Ukraine, and the importance of relying on research-driven market information instead of social media hype.
