Tuesday, June 22, 2010
I daily report on the price of gold because a sudden rise usually means that recession is coming. In my serialization of Book 2, the 23December09 posting of this blog featured gold. The following shares additional information.
1. One troy ounce (toz) = 1.097 ordinary or avoirdupois ounce = 480 grains = 31.1 grams. In other words, if gold is worth $1200 / toz, should you receive this precious metal in ounces, your value would only be $1094.
2. The highest price of gold was about $1250/toz on 11June10, and about because it depends on whether you are citing futures, a point during the day and so on. Of course, this is nothing compared to the $875/toz peak of 1980, which today, would have a value of $2,280.
3. South Africa is where most of this gold comes from, right? Wrong! South Africa is third to China (by far the leader) and Australia. The U.S. is #4, but dropped 9% over the past year. Russia is #5 and Indonesia #6, but increased 55% from the year prior.
The Dow Jones Industrials dropped 149 to 10,293, while world markets mostly went down. The Japan Nikkei fell 171 to 9942. Gold decreased $3/toz to $1243 and crude oil is at $77/barrel.
There is a small disturbance south of Cuba, and computer models hint of a possible pathway into the Gulf of Mexico.
There remain three storms in the Pacific, with Hurricane Celia diminishing now to 90 MPH, but expected to strengthen over the next day or two, then decrease again.