gold price gradually increasing lately??

Brexit just a starting point, will wait and see

I'm expecting one last big drop before going up and up.

I notice that when price drop, the bank will keep adjust the price to lower price multiple times per day. But now when rising, they didn't bother to adjust, still referenced to $1320/oz and sell at 174 - buy at 167. When now already over $1330/oz. Are they trying to fool us?

yes they are

It has been on an uptrend since Jan 2016

Don't buy now.... wait till housewives in wet markets oso debating on spot gold price then only join the wagon.

When obasan are buying is about time to sell.

Jus wana start invest in gold..is tis the time to buy gold or wait?

Then i dun buy 1st...wait n c

Don't buy.... wait till aunties all buying then only we buy....

Does it defeats the purpose of investment ?

nope. If you do keep track of bank's physical gold price like MBB's or UOB's, you'll notice that they only do that when the price drop greatly. Otherwise, it'll use the usual spot price + some premium.

it's said it'll have a big drop soon before going up and up. can buy at that time when everyone is selling..

This post has been edited by sinbad2k: Jul 6 2016, 10:36 PM

As if gold price is on uptrend in the long term.

I thought frontierzone was saying the banks do not increase their buying price in tandem with the gold price increase?
Therefore if one had bought gold at say RM 160/g, when gold price increases 10%, and the bank does not increase its buying price accordingly, or perhaps increase slightly only, the customer who wants to sell his gold to lock his profit may found that the rate of return not as promising as what the world gold price is, since the bank is controlling the buying price.

Hmm.....I didn't keep track of bank's paper gold price so I'm not sure. If that happens all the time then, banks do only increase/decrease a little according to spot price. I've been keeping track of physical gold coin price from MBB and UOB. Observed that UOB is quite consistent with their price and on some occasion only increase/decrease a little. MBB however is slow to use the latest spot price and increase/decrease their price a little but quick to react to big fluctuations.

Yes, you are mostly right I think. Maybank is very slow to adjust upwards, but very quick to adjust downwards. Like if one day rise 5 times (significant amount), they may only adjust 1 time only. But if drop 5 times, they revise like 3-4 times per day. Who is losing? And it is not consistent. From my observation, lets say given this international price abc- they fix it this amount xyz last week. But this week the international price is that/very near that figure again, they give different amount of lower rate.

As an example, last week or so when it was around USD 1330++/oz, there was one time I saw Maybank buy at RM170+ / g. But this week beginning, around USD 1340+/oz, but Maybank buy at RM169++ at most. By logic if USD 1330/oz relate to RM170+/g then USD1340/oz should mean higher than RM170+/g isn't it? But instead for this week, most banks hardly reach RM170/g buying price. All below RM170, floating between 167-169.

And I notice Maybank seems like increasing the spread between buy and sell. Used to be around RM8. I think now sometimes can be around RM10.




This post has been edited by frontierzone: Jul 7 2016, 12:34 PM

I noticed buysilvermalaysia.com does the same as MBB too. This is one reason I ceased buying physical gold. You tend to buy at higher & sometimes not so reasonable price.

So are you intending to buy or sell any paper gold? I would say the time of buy & sell really important. Like my case, bought paper gold back in 2009 & based on buying price of PBB at rm170/g last tuesday, it yielded me 5.5% p.a based on compound interest. I would say it's along wait & it's just slightly better than FD Rates but terrible than some of the performing bond funds.

How much did you buy in 2009?

I agree with what you said about the FD comparison.

Unless if you bought last year and sell this year you would earn 20%++. The difference this year and last year is huge.

There is lack of transparency about how much the bank will adjust the pricing. This does not make it a confident investment.