Everything is golden today—but what about silver? Lawrie Williams has some things to say about the grey metal, and we have his thoughts for you along with several pieces on gold—including some recent news that gold mines are expecting to produce more gold than ever before in 2021. And—JPMorgan says gold could ride a “blue wave” this election—we provide their analysis below.

Let’s dig in…

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Gold futures finished higher on Wednesday to recoup much of their loss from a day earlier when bullion sank below a psychologically significant level at $1,900 an ounce.

The precious metal recouped some of its recent losses “in response to a decline in the U.S. dollar and anticipation there will be no stimulus before the U.S. election,” said Jeff Wright, executive vice president of GoldMining Inc.

The U.S. dollar continued to trade lower even after the better-than-expected U.S. producer-price index number. The PPI jumped 0.4% last month

Weakness in the currency provided support for dollar-denominated gold prices. The ICE U.S. Dollar Index DXY traded down 0.2% in Wednesday dealings.

The dollar also saw pressure in the wake of comments from Federal Reserve Vice Chairman Richard Clarida.

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There is pressure building on the International Monetary Fund (IMF) to sell some of its gold to provide debt relief for poorer nations. Growing debt concerns have been gaining attention as countries struggle to support their economies amid the coronavirus pandemic. The topic was one of the top items discussed during this week's IMF annual meetings. The Jubilee Debt Campaign (JDC) is using this as an opportunity to urge the IMF to start selling some of its gold to provide debt relief for the world's struggling nations. According to the JDC's press release published on Monday, gold sales could provide much-needed help to underdeveloped countries struggling with the COVID-19 pandemic. It all comes out to the numbers, according to the JDC. Gold spot prices rose from $1,500 an ounce to $1,900 an ounce this year already, which means that the IMF's total gold reserves of 90.5 million ounces are now worth around $175 billion. This is around a $38 billion increase in value. The JDC notes that if the IMF sold less than 7% of its total gold reserves, it would result in…

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A survey has highlighted the different attitudes to wealth among high net worth investors (HNWs) in Hong Kong and Singapore. Research from Quilter International showed that while the majority (55%) of HNWs in Singapore favor wealth creation, the majority (69%) of HNWs in Hong Kong are more concerned with wealth creation. The survey also showed differences in the choice of asset classes. While the use of traditional asset classes is broadly the same, Singapore investors are more likely to invest in private equity and twice as likely to invest in commodities such as gold and precious metals. READ MORE

Lawrie Williams: We expressed a viewpoint at the weekend that gold appeared to have won its battle with the $1,900 level which it had been coming up against. There are still forces which seem determined to take it back down again, but so far they are being defeated by the gold bulls who see $2,000 gold in their sights again – but perhaps the battle is not truly over yet as skirmishes continue in and around the $1,920s. But how has silver been performing? Perhaps not quite as well as its yellow sibling. True the Gold:Silver ratio has come down from a relatively short-lived interim peak of over 80, but it is still way higher than the below-70 level reached only a month ago. The extremely heavy silver take-down that then ensued may well have instilled additional caution among prospective silver investors – particularly those who may have been stung by the massive silver price takedowns of 2011 – 2014. Silver fell from close to $50 an ounce then down to the low teens – carnage for the silver investor who may have come late to the party! Silver isn’t sometimes referred to as the devil’s metal without good reason… READ MORE

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Gold Silver Central