Dealing Desk: GoldMoney customers buck the market trend and sell bullionOct 16, 2014·Kelly-Ann Kearsey
It's been a week of stockmarket woes and rising gold prices, but it's highlighted again the differing buying habits of many physical bullion investors compared to the rest of the market.
GoldMoney's Dealing Manager, Kelly-Ann Kearsey said, 'Despite what's been happening in the general market we've seen trading volumes down on last week and net selling across all the metals. It's been really interesting to see that GoldMoney's customers have simply not done what you'd expect, and it's not the first time we've seen this.
'The majority of our physical sales have been in gold and platinum so it's possible our customers have been selling in order to take advantage of the bear market as others speculate. Overall gold's safe haven reputation has been boosting its price this week as disappointing economic data and the slump in US and UK equities raised fears of a global economic slowdown. As most of our customers already view gold as a safe haven commodity, this effect has already been discounted.
'Platinum however slipped below the gold price for the first time in over a year, and palladium was the weakest performer of the week.
'If prices stabilize and continue to rise then we'd expect to see more of our customers buying, and with further key economic data out next week, including Chinese Gross Domestic Product, and the US Consumer Price Index, then we could see further gains for gold at the expense of the dollar.
'One consistent trend we have seen is that most of the selling has been out of the UK and Swiss vaults, with the Malca Amit vault in Singapore being the beneficiary.'
16:00 16/10/14: Week on week performance: Gold rose 1.0% to $1,238.92; Silver slipped 1.3% to $17.33; Platinum also dropped 3.3% to $1,237.00 while Palladium fell 9.4% to $727.97.
NOTES TO EDITOR
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GoldMoney is one of the world's leading providers of physical gold, silver, platinum and palladium for retail and corporate customers. Customers can trade and store precious metal online easily and securely, 24 hours a day.
GoldMoney currently has over 22,000 customers worldwide and holds $1.4billion of precious metals in its partner vaults.
GoldMoney has offices in Jersey and Hong Kong. It offers its customers storage facilities in Canada, Hong Kong, Singapore, Switzerland and the UK provided by the leading non-bank vault operators Brink's, Via Mat, Malca-Amit, G4S and Rhenus Logistics.
GoldMoney is regulated by the Jersey Financial Services Commission and complies with Jersey's anti-money laundering laws and regulations. GoldMoney has established industry-leading governance policies and procedures to protect customers' assets with independent audit reporting every 3 months by two leading audit firms.
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