Update no3 2010

It seems as if Greece is not over its monetary problems yet,This is likely to keep supporting the GOLD price.The European Union  also seems restless as the Greek situation is having a knock on effect.In America their government is at the moment seems able to manage their debt situation well, as the promise of things coming right is ,pushing the actual situation into the back ground so there is no likely hood of upward pressure on the yellow metal.Gold is like therefore to be range bound probably staying above $1080  per ounce for the month.Physical demand for the metal is picking up as well as various reserve banks through out the world replenish their stocks and ETF's  are still in demand as nervous investors use gold as a backing currency.Industrial demand is also increasing.

The COPPER price  has moved up over the last couple of months but seems now range bound.

Platinum prices are near their seventeen month highs.All the other PGM's that by the way ,are seperate metals but usually found in the same seam as Platinum prices are very high.

Now there seems to be  talk of the market pulling back in America as it is believed it has overshot the conditions in the country.Every one from Motley Fool to CNN is trumpeting that there is going  to be a massive pullback,almost willing it to happen.I am not certain what the motive is.Maybe just to sell  their publications or genuine concern to tame the prices to make the recovery more sustainable over a longer period.I earnestly hope it is for the second reason that are suddenly taking such a negative veiw  of things.This is not to say that things are alright on the ground ,by any means and yes there is likely to be a pullback soon,but i do not believe it will be massive!

They are mostly speaking about financial and commercial stocks.What will happen to resources is another subject entirely. Up to this point whenever their market has  failed resource prices suddenly lurch upwards.Another point is that PLATINUM is nowhere near its highest high.About two years ago Platinum reached over $2200 per ounce in price.It is arounfd $1600 at the moment and recovering fast. PALLADIUM at one time in a spike reached over $1000 per ounce .It is now around $400 per ounce.
There is really a very small traded market for the PGM group metals and most of the major producers sell on contract.Some years ago Impala sold around 85% of their output on contract.I have no idea how much can be considered sold forward   today as usually this is a well gaurded secret. It is difficult to find out who the buyers of the metals are as well as I think each group is afraid that another group might move in and try to steal their customers from under their noses.