Navigating Basel III: How It Affects Precious Metals Investors

We have witnessed an incredible paper-smashing operation over the last couple of weeks as we head into the following implementation phase of the Basel III banking regulations. Basel III provides an excellent opportunity to top up our metals portfolio before a historically good season for gold price growth.

For the week, we have gold down 3% to $1801, silver down 6% to $26.31, platinum down 5% to $1105, and palladium down 5% to $2661.

Since one year ago today, we have gold up 2%, silver up 46%, platinum up 32%, and palladium up 37%.

Our in-depth article discusses the effects of Basel III up to this point and how things may change in the months ahead for the owners of physical gold and silver. As we have already seen, the divergence between the spot price and the physical price has continued. The performance of the bell-weather Gold & Silver Eagle coins has also continued to astound, compared to “spot” price performance. 39% growth in the spot price of gold compares to 59% growth in the Gold Eagle price. 72% growth in the spot price of silver compares sheepishly to 140% growth in the Silver Eagle price. We are likely to witness an extended period of spot-to-physical variance.