Rhodes Precious Metals Consultancy DMCC

Weekly Precious Metals Market Review

Indications only| open & closing prices are bids| data source Thomson Reuters Eikon| See disclaimer below | times are GMT

OTC$Market$Data
Week$Ending$19/06/2015
High$Bid
Low$Offer
Weekly$Close
Previous$Week
Weekly$Change$USD
Change$%
YTD$Change$USD
YTD$Change$%
Weekly&High&London&Fix
Weekly&Low&London&Fix
YTD&High&London&Fix&
YTD&Low&London&Fix&
ATM$Option$Vols$.$1m
Forward$Swaps$.$1$m$
Implied$Lease$Rates$.$1$m
CME$Active$Month$Settlement$
Gold
Silver
Platinum
Palladium
CME$Total$Open$Interest
Gold
Silver
Platinum
Palladium
ETF$Holdings
Gold
Silver
Platinum
Palladium
Other$Markets
USD$LIBOR$1$m$
Brent$Crude
USD$Index$(.DXY)
US$Equities$(.DJIA)

Date
Gold
$1,205.50
$1,173.00
$1,200.00$
$1,180.25$
$19.75$
1.67%
$16.50$
1.39%
$1,203.40&
$1,177.75&
$1,298.00&
$1,147.25&
11.41%
0.10000%
0.08700%
Weekly$Close
$1,201.90$
$16.109
$1,086.80$
$707.40$

Silver
$16.440
$15.830
$16.070
$15.920
$0.150$
0.94%
$0.410$
2.62%
$16.120
$15.930
$18.230
$15.470
23.84%
0.35000%
.0.16300%
Previous$Week
$1,179.20$
$15.825
$1,096.80$
$738.15$

Platinum
$1,089.00
$1,070.00
$1,083.00$
$1,094.00$
($11.00)
.1.01%
($117.00)
.9.75%
$1,092.00&
$1,073.00&
$1,285.00&
$1,088.00&
17.84%
0.15000%
0.03700%
Weekly$Change
$22.70$
$0.28$
($10.00)
($30.75)

21.Jun.15
Palladium
$740.00
$707.00
$707.00$
$737.00$
($30.00)
.4.07%
($86.00)
.10.84%
$740.00&
$718.00&
$831.00&
$729.00&
20.65%
.0.10000%
0.28700%
Weekly$Change$%
1.93%
1.79%
.0.91%
.4.17%

419,870
194,591
82,193
35,053

404,169
191,663
77,815
32,942

15,701$
2,928$
4,378$
2,111$

3.88%
1.53%
5.63%
6.41%

43,788,845
531,244,120
2,293,471
2,592,806

43,870,520
531,202,191
2,287,846
2,594,563

.81,675$
41,929$
5,625$
.1,757$

.0.19%
0.01%
0.25%
.0.07%

0.18700%
$63.62$
94.070$
18,105.95

0.18550%
$64.69$
94.910$
17,898.94

0.00150%
($1.07)
(0.840)
207.01

0.81%
.1.65%
.0.89%
1.16%

RPMC does not provide trading or investment advice. The information provided in this report is for indicative information only and RPMC assumes no liability
whatsoever for the accuracy and/or any use of the information contained in this report and expresses no solicitation to buy or sell OTC products, futures, or options on
futures contracts. The Customer should not regard any views or opinions given in this report as being investment or trading advice. RPMC shall have no liability
whatsoever for any view or opinion expressed in the report. Reproduction of this report without authorization is forbidden. All rights reserved 2014.

T: +971 50 6526076

E: jeffrey.rhodes@rpmc.ae

Page 1 of 5

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Rhodes Precious Metals Consultancy DMCC

MARKET NEWS & DATA THOMSON REUTERS EIKON
19-JUN-2015 09:03:12 PM
Indias proposed Sovereign gold bond is a good scheme because gold investors will be able to take this route with returns higher
than gold. Apart from gold price returns, they will also get a per cent or two extra per year, which is proposed to be offered to bond
holders. Nilesh Shah, a strong supporter of gold bonds and managing director of Kotak Mahindra Assets Management Company,
said, Investors will put money in gold sovereign bonds as the scheme proposed by the government is attractive. This scheme
should have come much earlier, but better late than never. He said in the past decade, India sent $280 billion out of the country to
import gold, which otherwise would have been used for development. The amount is similar to foreign institutional investment in
the country during the period. There is one issue in the scheme, which worries some experts. According to a bullion analyst, The
government estimates it will be able to raise $2 billion in the first year but says the gold price risk as well as currency risk need not
be hedged. This could be a big gamble. A banker dealing in gold said: RBI has a natural hedge for currencies and gold with $350
billion in reserves. Unlike the gold monetisation scheme, where the primary objective is to monetise Indias massive stock of
physical gold, the sovereign gold bond scheme intends to convert the investment demand for physical gold into paper demand. In
2014, total investment demand for gold moderated to 180 tonnes from an average annual demand of 345 tonnes during 2010-2013.
If the scheme is fully subscribed in the first year (50 tonnes as estimated by the government), then it will represent 27 per cent of
the 2014 investment demand and result in a saving of $2 billion on gold imports at current gold prices. Additionally, since the bonds
are part of the sovereign borrowing programme, they have to be kept within the fiscal deficit target (3.9 per cent of GDP in FY16).
Regular government borrowing will come down by a similar amount. Overall, this scheme provides a good alternative for gold
investors as these bonds are sovereign backed and also provide a nominal rate of interest, said Sonal Varma, executive director and
India economist at Nomura. Fund managers of gold ETFs, however, need to worry because these bonds can replace ETFs. This is
because ETFs deduct expenses from invested funds, while sovereign bonds will pay additional interest. The government will bear
expenses such as agents commission.

NEW YORK, June 19 (Reuters) - Hedge funds and money managers raised bearish bets on Comex copper futures and options and
slashed bullish bets on silver to the lowest in seven months in the latest week, U.S. Commodity Futures Trading Commission (CFTC)
data showed. In the week ended June 16, speculators increased their net short in copper by 2,651 lots to 6,786, according to Friday's
data as prices sank amid concerns mounted about demand from China, the world's top consumer. They cut net longs in silver by
some 8,140 lots to 2,255 and gold net longs by 1,900 to 42,818 lots.

NEW YORK/LONDON, June 19 (Reuters) - Gold held near a three-week high on Friday and was set for a second weekly gain, bolstered
by the U.S. Federal Reserve's caution on an interest rate rise and worries over Greece, even as a recovering dollar capped gains. Spot
gold was up 0.05 per cent at $1,201.50 an ounce by 2:09 EDT (1809 GMT) in choppy, thin trade after notching its biggest daily
increase since mid-May on Thursday. Prices are up 1.8 per cent this week, the biggest weekly increase in over a month. "We're
sandwiched between resistance at the 200-day moving average and support at the 100-day moving average," said Howard Wen,
precious metals analyst at HSBC Securities in New York. Gold rallied on Thursday on a softer dollar after Fed policymakers said a rate
increase would be appropriate only after further improvement in the labour market and greater confidence that inflation would rise.
"The boost that gold got from a more dovish Fed this week slightly improves the technical picture," ActivTrades chief analyst Carlo
Alberto de Casa said. U.S. gold futures GCcv1 for August delivery settled little changed at $1,201.90 an ounce, near Thursday's
almost four-week high. Noninterest-paying gold has benefited from a record-low rate environment following the 2007-2009 financial
crisis. Higher rates would increase the opportunity cost of holding the metal. Gold in euro terms XAUEUR=R was trading around 9
per cent lower than a near two-year peak hit in January. Bullion has garnered some support from investors worried over a euro zone
crisis. Athens and its international creditors remained deadlocked over a debt deal. Euro zone leaders will hold an emergency
summit on Monday to try to avert a Greek default after bank withdrawals accelerated. Investor positioning remained bearish, with
assets of top gold-backed exchange traded fund SPDR Gold Trust GLD.P at its lowest since 2008 and speculators increasing short
positions. Asian physical demand was also sluggish as a tight price range and higher stock market yields kept consumers away.
In China, prices on the Shanghai Gold Exchange fell to a discount of up to $2 an ounce to the global price from a premium of
between $1 and $2 on Thursday. Silver was down 0.4 per cent at $16.09 an ounce, while palladium lost 1.9 per cent to $705.25 after
hitting a 16-month low. Platinum was up 0.1 per cent at $1,082.24.

2
RPMC does not provide trading or investment advice. The information provided in this report is for indicative information only and RPMC assumes no liability
whatsoever for the accuracy and/or any use of the information contained in this report and expresses no solicitation to buy or sell OTC products, futures, or options on
futures contracts. The Customer should not regard any views or opinions given in this report as being investment or trading advice. RPMC shall have no liability
whatsoever for any view or opinion expressed in the report. Reproduction of this report without authorization is forbidden. All rights reserved 2014.

T: +971 50 6526076

E: jeffrey.rhodes@rpmc.ae www.rpmc.ae

Rhodes Precious Metals Consultancy DMCC

RPMC COMMENTARY

Gold extended the previous weeks recovery from the dip to $1162 to reach a high of $1205.50 before easing back to end right on
the pivotal $1200 level, representing a gain of $19.75 or 1.67%. Dovish comments on interest rates by Janet Yellen provided the
spark that drove gold higher while the on going Greek Sovereign Debt Tragedy added to the new found bullishness. A 3.88%
increase in open interest on the COMEX last week points to fresh speculative buying entering the market and the yellow metal
seems poised to make a pass at the 200 day moving average pegged at $1206 with a clear break likely to target $1225 on the charts.

Silver finally snapped its month long losing streak as the industrial precious metal rose from a low of $15.83 to reach $16.44 before
falling back to end the week up 15 cents or 0.94% at $16.07 bid. If gold is able to make a technical break to the upside, silver should
follow with the 100-day MA at $16.47 and the 200-day MA at $16.62 the likely targets on the charts.

3
RPMC does not provide trading or investment advice. The information provided in this report is for indicative information only and RPMC assumes no liability
whatsoever for the accuracy and/or any use of the information contained in this report and expresses no solicitation to buy or sell OTC products, futures, or options on
futures contracts. The Customer should not regard any views or opinions given in this report as being investment or trading advice. RPMC shall have no liability
whatsoever for any view or opinion expressed in the report. Reproduction of this report without authorization is forbidden. All rights reserved 2014.

T: +971 50 6526076

E: jeffrey.rhodes@rpmc.ae www.rpmc.ae

Rhodes Precious Metals Consultancy DMCC

Platinum traded between $1089 and $1070 before ending at $1083 bid, a loss of $11 or 1.01% on the week. A sharp 5.63% increase
in open interest on the NYMEX suggests a combination of ETF hedging and chart short selling with $1000 on technical radar screens.
However with gold looking to move higher the noble metal seems likely to reclaim a foothold above $1100 in the week ahead.

Palladium recent fall from grace continued in spectacular fashion last week with the junior precious metal falling from a high of $740
to end on the lows at $707, a loss of $30 or 4.07%. Palladium has lost $100 or over 12% over the last month and is now over $200 or
22% below the 13 year high of $910 posted in September 2014. For a precious metal that has a chronic supply deficit the month long
sell-off makes no fundamental sense and surely this short-term speculative weakness provides a longer-term bargain entry point.


4
RPMC does not provide trading or investment advice. The information provided in this report is for indicative information only and RPMC assumes no liability
whatsoever for the accuracy and/or any use of the information contained in this report and expresses no solicitation to buy or sell OTC products, futures, or options on
futures contracts. The Customer should not regard any views or opinions given in this report as being investment or trading advice. RPMC shall have no liability
whatsoever for any view or opinion expressed in the report. Reproduction of this report without authorization is forbidden. All rights reserved 2014.

T: +971 50 6526076

E: jeffrey.rhodes@rpmc.ae www.rpmc.ae

Rhodes Precious Metals Consultancy DMCC

ABOUT RPMC

Rhodes Precious Metals Consultancy DMCC was established in December 2013 with a strategy to provide consultancy
and advisory services to prospective clients seeking to establish new business activity in physical precious metals, or to
enhance and improve existing businesses, by providing product knowledge, regional expertise, influence and distribution
capability. The founder and Managing Consultant of RPMC, Jeffrey Rhodes, has a proven track record of having built
successful global gold and silver businesses in a number of different corporate structures, geographies and
environments ranging from major bullion banks to regional precious metals trading companies.

SERVICES

RPMC provides consultancy and advisory services to prospective clients seeking to establish new business activity in
physical precious metals, or to enhance and improve existing businesses, by providing product knowledge, regional
expertise, influence and distribution capability. RPMC offers advice on all aspects of the precious metals business
including hedging and risk management products, logistics, pricing and execution of transactions in precious metals. The
consultancy and advisory services cover:

Physical precious metals, including primary and secondary supply, i.e. bullion bars and scrap.
Paper trading of precious metals on a margin basis, including spot and forwards.
Over-the-counter options and other derivatives relating to the underlying physical precious metals.
Precious metals facilities related to the financing of physical flows, i.e. leases, consignments, L/C backed
transactions etc.
Gold jewellery financing on a fully secured basis.
Compliance, KYC, anti-money laundering and responsible supply chain management procedures.

CLIENTS

RPMCs offers its range of consultancy and advisory services to:

Regional Banks and Financial institutions
Government Agencies
Regional Central Banks
Bullion wholesalers and traders
Jewellery manufacturers, wholesalers, retailers
Producers /Mining Companies
Refiners and smelters
HNWs

5
RPMC does not provide trading or investment advice. The information provided in this report is for indicative information only and RPMC assumes no liability
whatsoever for the accuracy and/or any use of the information contained in this report and expresses no solicitation to buy or sell OTC products, futures, or options on
futures contracts. The Customer should not regard any views or opinions given in this report as being investment or trading advice. RPMC shall have no liability
whatsoever for any view or opinion expressed in the report. Reproduction of this report without authorization is forbidden. All rights reserved 2014.

T: +971 50 6526076

E: jeffrey.rhodes@rpmc.ae www.rpmc.ae