RECORD BREAKING DROP FOR GOLD AND SILVER IN A SINGLE DAY

-By Mr. Prithviraj Kothari, MD, RSBL (RiddiSiddhi Bullions Ltd.)

Gold and Silver dropped drastically on Friday. Gold was down by 6 percent and silver 8 per cent. Gold was running at a 15 month low at $1484 and dropped by almost 80 dollars in a single trading day.

By Friday evening, gold dropped by Rs. 1050 per 10 gram and was trading at  Rs. 28180  while silver dropped by Rs. 2350 and was trading at 49,350 per kg in the Indian markets.

Even after markets closed, gold in the international markets dropped on Friday mid night. Gold slided around 20 dollars further late in the night.

This downfall effect was seen in the domestic markets on Saturday. Gold dropped by Rs.300 trading at Rs. 27900 and silver dropped by almost Rs. 900 trading at Rs. 48900.

The main reason cited behind was gold sell off by central bank. Some 158,200 taels of gold bullion ( roughly six tonnes) were sold in six auctions held by the State Bank of Vietnam.

There were news that as soon as the international markets opened, Merryl Lynch sold 4 million ounces of gold.

Heavy ETF selling was also seen in the markets.

What triggered panic selling amongst investors was a statement by Draghi. During a press conference he said that while Cyprus doesn’t have to sell its gold, any money that is raised from the sale must go towards covering the losses from the emergency loans to country’s banks.

This resulted in panic selling.

The important  US data released on Friday gave an indication that US wholesale prices aren't rising. Any such signal will prompt investors to sell Gold.

The next target for gold is 1450$ as gold is expected to decline further on the lines of a strengthening US economy.

“The primary purpose of this blog by Prithviraj Kothari - MD, RSBL, is to educate the masses of the current happenings in the Bullion world.”


- Previous blog -
"RSBL launches E coin trading system for the first time in Andhra Pradesh"
http://riddisiddhibullionsltd.blogspot.in/2013/04/rsbl-launches-e-coins-trading-system.html

RSBL LAUNCHES E COINS TRADING SYSTEM FOR THE 1ST TIME IN ANDHRA PRADESH

Hyderabad, 12th April, 2013: Following their grand success of the flagship product ‘RSBL SPOT’, India’s first fully electronic, over the counter (OTC), delivery based bullion trading system with over 2300+ clients across 17 cities in India, RiddiSiddhi Bullions Ltd. (RSBL), India's largest bullion trading company, is glad to announce their ingression of smaller denominated Gold bars in South market via RSBL eCoins. The antiquity and demand of gold in south Indian region has always been impressive. A recent report by Karvy Private Wealth says the four southern states account for over 40% of the nation's overall gold demand.

Even when the demand is promising, Issues like long queues for getting deliveries during peak seasons, institutions and banks often misguiding customers by way of offering discounts on smaller denomination Gold bar’s price etc have been common concerns in Andhra Pradesh. To counteract these issues, RSBL eCoins will provide its retailers/customers with live transparent benchmark prices along with instant trade and rate confirmations. 

‘RSBL eCoins’, a state of the art fully electronic over the counter smaller denomination Gold bars trading system, where buying/selling starts as low as 1gm, is a B2B model where Spot delivery will be given. There are no account opening charges, trading commission and terminal usage charges. The bars are available on the basis of real time pricing, thereby benefiting them to source their supplies at benchmark prices. The bars will be available on the terminal in widest range of denominations: 1, 2, 5, 10, 20 and 50 grams in .999 purity. The highly specialized client relation team will be available to provide technical support, during market hours. The system has the most comprehensive charting package that will help them trade efficiently using technical indicators.

The packaging of the smaller denomination Gold bars is very attractive that comes with a tamper-proof seal that meets international packing standards. Registered Clients can trade on this terminal via electronic devices like PCs, laptops, tablets, mobiles etc.

The official inauguration in Andhra Pradesh was done by Mr. Prithviraj Kothari (Managing Director): Riddisiddhi Bullions Ltd. Commenting on the occasion Mr. Kothari said, “It gives us immense pleasure to announce our entrance in small Gold denomination bars market of South India. Andhra Pradesh is a prosperous place, where people buy a lot of gold and related products like small denomination bars, jewelers etc. Looking at the market we see a huge potential of our eCoins system to flourish as RSBL SPOT system has.”

About RiddiSiddhi Bullions Ltd. (RSBL): Established in the year 1994, it has been amongst the market leaders in providing wholesale and retail level bullion delivery in the spot markets across India. It has made investing in Gold, Silver and Platinum the ‘in’ thing with its easy, reliable and user-friendly systems and products like RSBL SPOT, RSBL eCoins, Bullion++, Bullion India, RSBL Coins, RSBL DIA Jewels and so on. The company’s promoters have a combined experience of over 100 man-years in the industry. RSBL has received SME 1 rating from CRISIL Ltd., which is the highest rating on the SME rating scale. RSBL is a nominated agency for import of Bullion in India and also one of the few Indian companies associated with the London Bullion Market Association (LBMA). It holds a reputation amongst LBMA’s good delivery member international supplier and banks. It has also been certified as a PREMIER TRADING HOUSE status under the EXIM policy of Ministry of Commerce, Govt. of India. , are few of many such accolades. RSBL has carved a niche in the market for being the first ever consolidated bullion trading company in India.


“The primary purpose of this blog by Prithviraj Kothari - MD, RSBL, is to educate the masses of the current happenings in the Bullion world.”


- Previous blog -
"2013: Dubai precious metals conference"
http://riddisiddhibullionsltd.blogspot.in/2013/04/2013-dubai-precious-metals-conference.html