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The price of gold for August delivery fell back to USD21, 60, down from 1.81 percent last week in USD1.188.20 position on the Comex, New York. This is the largest decline for most active contract since July 1 last. As quoted from Bloomberg, Monday (07/19/2010), price of gold at the end of trading last week closed below USD1.190, resulting in the closure of the gold to trade below its normal trading range. On gold futures contract for August delivery is seen strong sales volume, the data quoted by Bloomberg. Several traders said there was an option to sell gold held by investors since the beginning of trade.

Gold prices touched a record high in the record of USD1.266, 50 per ounce on June 21 and reached its highest level. For gold trade cautioned that increasingly fell, investors started to restrict demand this precious metal, as a medium-term savings instruments.

“The price of gold back corrected, although the trade in Asia is falling prices,” said Executive Director of ABN Amro Bank, NV Wallace Ng.

On the other hand, the euro managed to rise above USD1, 29 for the first time since May related to a Spanish request to cut the bonds concern over the possibility could not overcome the deficit. A number of investors had to sell euros and buy dollars and gold as an investment during the height of European concerns about the debt crisis may be reversed.

Asian stocks fell because of slowing economic data of the United States (U.S.) and China thus reinforcing fears of a global economic recovery is still fragile.

Japanese and Australian Stock Exchange corrected quite sharply as investors seemed to cut exposure in the stock market and the euro depreciated against the U.S. dollar (U.S.).

Tokyo Stock Exchange today plunged 2.04 percent return, the Australian stock exchange fell 1.44 percent, the Shanghai stock exchange fell 1.02 percent, Taiwan’s stock exchange falling by 1.03 percent, the Seoul stock exchange fell 0.71 percent, 1.08 percent of India’s market slump, and the Singapore stock exchange fell 0.53 percent.

Bleak U.S. economic data Wednesday again raises concerns about the possibility of a second global economic crisis.

And today the data of China on June manufacturing index also fell to 52.1 yesterday compared to the position in May amounted to 53.9, thus strengthening the suspicion that the State economy will also slow down the Bamboo Curtain.

“The deterioration of China’s economic data adds to fears of a global crisis amid uncertainty over both Europe and the U.S. economy,” said Park Seok-hyun, an analyst of KTB Securities.

Statement from the Bureau of Statistics of China that export demand is still increasing but slow down with the grim prospect helped trigger the collapse of regional exchanges.

Action later caused big losses on sales in the U.S. stock market on Thursday, with investors scared by the news of a blast in Athens and the specter of criminal charges against nine banks.

The blue-chip stock index Dow Jones Industrial Average fell 113.96 points (1.05 percent) to 10782.95 at close of trading.

The technology-heavy NASDAQ composite index lost 30.66 share points (1.26 percent) at 2394.36 while the broader market index Standard & Poor `s 500 lost 14.23 points (1.21 percent) to 1157.44.

Before the action to sell in late trading, and after logging off for the past week, the stock hovering in or around the red for most of Thursday.

“Stocks spent much of the session stuck in negative territory with moderate losses, but the sellers intensify their efforts in the last action,” Briefing.com analysts said in a client note.

“The atmosphere for relatively warm most of the session as buyers took a break after they sent the stock market rose more than five percent higher during the three previous sessions,” said the analysts. Read the rest of this entry »

Australian Prime Minister Kevin Rudd claimed to have discussed the policy of increasing taxes to mining companies and 40% believe the number is right, but still reap the rejection of the business community.

“Ministry of Finance has been discussing the details, implementation, and policy changes with relevant parties, including the nearly 100 companies,” Mr. Rudd said in an interview on Australian Broadcasting Corp. radio today.

Yesterday the Australian Finance Minister Wayne Swan released the projected budget surplus target in 2012 and 2013, including a surplus of tax revenue with the new policy.

Meanwhile, BHP Billiton Ltd. and Rio Tinto Ltd., the largest mining company first and third in the world, said the profit tax rates which became effective in 2012 it will damage investment and limit the growth of employment in that industry.

Rudd will be following the upcoming elections in 11 months. He suggests raising taxes on mining policy, which was launched on May 2 is a response to changes in the tax system 10 years Finance Minister Ken Henry.

She added that the policy will provide for the equitable sharing of employers in the mining sector, and the Australian people. The mining sector contributes an average of 9% to the gross domestic product (GDP) in Australia per year.

Tax revenue, he explained, will be used to construct roads, railways, and ports, fund deficit caused by corporate tax cuts, and cash assistance to low-income workers to increase retirement savings.

Royal Bank of Scotland Group Plc (RBS), the British government’s big banks, is known to cut 2600 workers at the consumer bank and insurance divisions. Creditors are likely to eliminate about 2,000 employees at the insurance division of insurance products including Direct Line and Churchill.

The 600 workers will also be eliminated derived from consumer bank division, headquartered in the UK as a source disclosed yesterday by Bloomberg. Bloomberg noted RBS has cut about 26,000 workers or 12% of all staff throughout 2008 until last week.

Bank policy to some extent influenced by the European Union in terms of selling its insurance unit more than 300 bank branches as a consequence of government assistance.

“This is a deep disappointment to see more unemployment continuing at this time. We currently anticipate that the unemployment total reached 500 people printed in Edinburgh and Glasgow in Scotland, “said Scotland Finance Secretaries John Swinney in a statement earlier this week.

RBS share price which is the recipient company bailouts (bailout) the world’s largest rose 14% to 51.75 pence (decimal unit of currency of pounds). The raised push the RBS market value to 30 billion pounds. Its shares climbed 77% this year. RBS is the only UK bank that does not print the net income in the first quarter of this year.

This company is actually loss of 28 billion pounds in the last two years after the acquisition of ABN Amro Holding NV. As for RBS insurance unit also printed 50 million pounds of losses of 76 million pounds profit in the beginning of the year as quarterly reports on last week.