In online gold trading the price of the gold crept higher in quiet summer trade in London on Friday (19th of July 2013), adding 0.4% for the week as world stock markets also rose but commodity prices fell back, according to Oil and Gold.com
"Gold going down is not necessarily a bad thing," said US Fed chairman Ben Bernanke to lawmakers in semi-annual testimony on Thursday (18th of July 2013) “It suggests people have somewhat more confidence, and… feel less need for whatever protection gold affords." However as dollar were falling Gold prices were hiking up during 19th session.
Touching $1295 per ounce in online gold trading Friday (19th of July), gold prices for Euro investors were flat from last week, the price in Sterling stood 0.5% lower at £846 per ounce for the first weekly drop in three, according to the report.
"Gold miners across the world are cutting output and costs as gold prices slump," says the latest Commodities Weekly from French investment bank and bullion dealers Natixis.
"This is affecting new projects as well as existing mines."
After reducing their 'hedge book' as a group from nearly 3,000 tones to almost zero last decade as gold prices rose five-fold, "Mining companies are queuing up at bullion banks to discuss short-term hedging arrangements," says one London bank's trading desk in a note.
"Some forward sellers already sleeping well at nights…others are rushing to lock-in 'good' prices." Report said.
Gold lenders are currently enjoying the strongest sustained returns in online gold trading in almost a decade according to data from market makers and other bullion banks, with gold lease rates up and swap offer rates negative.
"Some emerging-market central banks are taking advantage," adds the London bullion bank's note, "getting some yield on their gold reserves" by offering metal for loan.
For those whom trade in online gold trading, the week of the 15th of July was a good week since the gold rose 5.8%, gold recorded its biggest weekly percentage gain since 2011, and it came after four weeks in a row of losses.