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GOLD/US Dollar Daily Chart
Yesterday the Swiss National Bank decided it was best to do away with the cap on the Swiss Franc. Basically for the last few years they had been pulling out all the stops to keep the Swiss Franc floor at 1.2000 Euro. Well removing this intervention increased the Swiss Franc by as much as 40% at one point against the Euro.
The currency markets were shocked and currency traders on the wrong side of the trade were hammered. The Swiss stock market dropped about 10% making it the biggest one day loss since 1989.
Gold in 2015 alone has gained about $75US/oz. I'm guessing the Swiss announcement was part of the reason it popped $34US/oz yesterday. In drastic situations people often turn to gold as a store of value.
Has gold bottomed? Will it test lows again? Recently it is going in the right direction, and with Oil dropping maybe investors will start looking at Gold again.
On October 19th, 2014 I mentioned Asanko Gold ( AKG TSX ) at $2.13. They closed $2.05 yesterday and issued news that their Ghanian mine, which is in construction, is on schedule and they will begin production in early 2016.
Our sponsoring company is also a gold exploration company in Ghana with an inferred resource. The company last traded last at 16 cents. Currently it is bid .22 and offered at .30.
Give the company a look and thanks for reading! Hopefully you will get your name into our sponsor's draw (read the next column). Click on the square graphic!
Warren
Blogger/Researcher
Have a great weekend!
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