The Gartman Letter: Thursday Gold Update
Dennis Gartman has been directly involved in the capital markets since 1974 and has been publishing his daily commentary, The Gartman Letter, since 1987. The following provides information from today’s The Gartman Letter.
It is important to note that gold has not only broken out relative to the EUR, it has done so relative to the British Pound Sterling; it has done so relative to the Aussie dollar; it has done so relative to the Russian Ruble… gold simply is breaking out as a currency against almost all other currencies and that is worth noting here this morning. We shall be more certain of the efficacy and sustainability of gold’s recent strength should EUR/gold trade upward through €960, and we shall be even more certain if Yen/gold trades upward through ¥135,000 for then any and all residual downward sloping trend lines shall have definitively been broken through to the upside.
Much should be made of the recent reports of Chinese buying of gold, making China now the world’s largest buyer of gold, supplanting India for the first time in our memory. We do not perceive China giving back that #1 position, and we can imagine imports of gold…in bullion and in jewelry form… continuing to rise as China’s per capita income continues to rise and as a reasonable urge to hide wealth from government eyes rises.
The above communication is a publication of The Gartman Letter and is not intended to provide personalized recommendations to buy, hold or sell investments. The Gartman Letter’s information, statements, views, and opinions are based on internal and external sources considered by The Gartman Letter to be reliable, but The Gartman Letter makes no express or implied representation or warranty to those sources’ accuracy, completeness, or correctness. Such information, statements, views and opinions are expressed as of the date of publication, are subject to change without further notice, and do not constitute a solicitation for the purchase or sale of any investment referenced in the publication. Investors should verify all claims and conduct their own research before investing based on the above communication provided by The Gartman Letter.