Gold

Gold (Forex Index pm fix) - Today's data summary

% change
+0.40%
Price dollars per ounce
1227.85
Change
+4.85
As of 22:05 21 Oct 2018

Gold (Forex Index am fix) - Today's data summary

% change
+0.30%
Price dollars per ounce
1228.25
Change
+3.65
As of 22:05 21 Oct 2018

Latest updates

Where people drink gold

Gold is literally part of the land and people

How much?

Gold-painted Ferrari
PA

And finally tonight, if you've ever fancied driving a gold-painted Ferrari, you get your chance this month.

Sotheby's is auctioning what it calls a "one-of-a-kind" metallic gold 1977 Ferrari 512 BB.

The car's been fully restored and has a chestnut brown interior.

Constantine Frangos, head of The Midas Touch sale at Sotheby's, said the car "really encapsulates the excitement, luxury and pure extravagance associated with gold. The uniqueness of this car makes this a fantastic opportunity for collectors, and car enthusiasts alike.”

However, you'll need about £450,000 to snap it up, the auctioneer reckons.

World's largest gold miner to list in Toronto and New York

The world's largest gold miner worth £14bn will be created by the merger of Jersey-based Randgold and Canadian miner Barrick. But the move to list in Toronto and New York is a surprise, said Nicholas Hyett, equity analyst at Hargreaves Lansdown:

The deal is an interesting one for Barrick. It comes eight years after the group spun off its African assets as African Barrick Gold (now Acacia Mining in which Barrick still holds a 44% stake) in what many saw as a move to de-risk the portoflio. Back then the group argued that the London Stock Exchange delivered a better valuation for African assets. Given that fact, the decision to scrap the London listing is perhaps a bit of a surprise.

Gold firms merge

Man holds piece of gold
Getty Images

Barrick Gold and Randgold Resources are merging to create what they say will be an "industry-leading gold company".

Under the terms of the merger, each Randgold shareholder will receive 6.1280 new Barrick shares for each Randgold share they hold.

Following the merger, Barrick shareholders will own around two-thirds of the new company while and Randgold shareholders will own around a third.

Mark Bristow, chief executive officer of Randgold, will become president and chief executive officer of the New Barrick Group.

Australian gold miners make 'once-in-a-lifetime' discovery

They unearthed gold deposits worth more than $11 million
Miners in the small Western Australia town of Kambalda have unearthed gold deposits so large it took three men to get them out of the ground. Geologists are calling it a "once-in-a-lifetime discovery" especially since mining in the area had traditionally been geared towards nickel. The deposits are worth more than 11 million US dollars.  

Jarrod Lucas is a journalist with ABC and based down the road from Kambalda were the gold was found.

(Photo: Two of the large gold deposits uncovered in Kambalda. Credit: RNC Minerals)
Polluted lives: The cost of South Africa's gold rush
After decades of gold mining, large swathes of Johannesburg's population are thought to be exposed to toxic and radioactive waste.

FTSE 100 drops on commodity price falls

The FTSE 100, the blue chip stock index, has reversed earlier gains and is now trading down 0.77% at 7,553.35.

Connor Campbell, financial analyst at Spreadex, says: "The FTSE was crushed under the weight of its sizeable commodity stocks on Wednesday, plunging towards 7,550 as chaos spread throughout the sector.

Trucks loading copper ore
Getty Images

"With Brent Crude falling under $72 per barrel after slipping 1%, gold sliding to $1,192 an ounce and copper sinking around 2.5% to hit a fresh 13 month low, the FTSE’s oil and mining firms were not in a good way.

"BP and Shell both slipped 0.7%, the likes of Rio Tinto, Anglo American and Antofagasta were down anywhere between 2.5% and 4%, and Fresnillo shed 5.5%.

"All this led to the UK index itself dropping 70 points, testing intraday lows last seen at the start of the month."

Prelude to bad times?

Gold bars
Getty Images

In a global economy facing such uncertainties - Brexit, trade rows - assets such as gold are traditionally viewed as a safe haven investment.

However, gold prices have been falling.

Graph showing the gold price over three months
BBC
Gold prices over three months

Randgold Resources chief executive Mark Bristow, says: "If you go back to 2008 and the great crash and even 1999 when the bubble burst in IT, those big adjustments in the gold price were preempted by softer gold prices.

He says: "If you look at the global stability economically and geopolitically with the rising tensions on the trade side of things with the US and China and other Western countries, you saw the news out of Europe today and the ongoing issues around Brexit just generally around the Europe club there's no harmony at all and we're definitely seeing negative signs of quantitative tightening and interest rate increases."