Welcome to the BullionByPost gold and silver news service. Our news team aims to cover all the latest headline stories affecting the gold and silver bullion markets, as well as reporting on other precious metals, the state of major currencies, and movements in the stock market.
We provide commentary on the state of the economy and wider current affairs or political decisions that impact the markets, giving our customers as much insight as possible and allowing them to make educated choices when it comes to buying and selling in the precious metals market, whether it's for investment purposes or a collection.
After suffering one of the worst periods of unemployment on record, thousands more workers are expected to lose their jobs in the coming weeks and months, as the global economy enters a deep recession.
After months of lockdown across the world, several companies have come out this week to announce severe job cuts as they adjust to the new landscape for businesses in the months to come.
After slashing interest rates to a record low of 0.1% in March, the continued economic damage of the coronavirus has now made the previously unthinkable a possibility for the UK, after a senior Bank of England official speculated on the possibility of negative interest rates.
The Eurozone economy reported its worst ever quarterly contraction this week, in the first sign of recession for the major economic powerhouse.
The US saw its GDP fall by an even higher 4.8% during the first quarter, its worst performance since 2008. This puts both the EU and US past the first part of the way to a full recession (two quarters of contraction in a row).
After 18 years of flying, Virgin Australia has entered voluntary administration. In a worrying sign to the aviation industry as a whole, its demise could be one of several airlines to collapse as a result of the coronavirus.
The International Monetary Fund has warned that the 'Great Lockdown' will rival the Great Depression of the early 1930s, while the Office for Budget Responsibility have alerted the British public that we could see a record level of economic contraction when second quarter data is released in the summer.
In response, the price of gold hit a seven-year high, with safe haven demand the driving force.
The Institute for Fiscal Studies has today issued a press release warning of the serious health impacts an economic downturn could have if serious action isn't taken to counteract the problems caused by the current lockdown.
Talks between European nations and their financiers over a coronavirus bailout worth an estimated €540bn (£476bn) fell short yesterday, with ministers promising a return to talks on Thursday.
G20 leaders at a virtual meeting on March 26th committed, “to do whatever it takes and to use all available policy tools to minimise the economic and social damage from the pandemic, restore global growth, maintain market stability and strengthen resilience”.
The price of gold rose steadily on Monday, up approximately 3% from £1,324 to a peak of £1,367 an ounce, as the Pound weakened against major currencies like the Euro in the face of bleak economic forecasts.
Gold's value naturally rose on Monday due to futures demand, with June gold up $48.20 per ounce on the COMEX; a 2.9% rise to reach $1,693.90 per ounce - their highest since December 2012.
Global stock markets have almost inevitably recorded their worst quarter since 1987, as the coronavirus continues to keep Europe and parts of Asia under lockdown and hinder economic activity and societal norms.
At the end of 2019, the Global Economic Conditions Survey (GECS) predicted a steady 3% growth in world trade. Poor Q1 figures plus the unprecedented impact of Covid-19 has dashed any such hopes, and many nations - including the UK, Germany and Japan - are expecting to report they are officially in recession later this month.