A vote in favor of boosting Switzerland’s gold holdings at a Nov. 30 referendum won’t necessarily lift bullion prices, Deutsche Bank said in a note, adding there was a “considerable” chance the motion would pass.
The Swiss National Bank could spread out its gold buying, take transactions off market, or use derivatives to cushion gold prices from the impact of a ‘yes’ vote, Deutsche said.
The “Save our Swiss gold” proposal, spearheaded by the right-wing Swiss People’s Party (SVP), would force the SNB to hold at least 20% of its assets in gold, make it repatriate gold held overseas and commit never to sell bullion.
A survey last month said the proposal had 44 percent support, short of the majority needed to pass into law.
US gold bullion saw little movement on Friday, November 14, staying around $1,162 per ounce. Chinese gold bullion saw little change in its price last Friday at CNY 228.80 ($37.25) per gram. The price of Indian gold bullion remained essentially flat at INR 25,938 ($423.10) per 10 grams. Japanese gold bullion stayed flat at around JPY 4,320 ($39.68) per gram.
The price of Chinese silver showed little movement last Friday at CNY 3,405 ($554.40) per kilogram. Following two days of downward movement, the price of Indian silver held steady at INR 35,227 ($574.62) per kilogram. The price of Japanese silver remained steady at JPY 582.00 ($5.35) per 10 grams. At $15.66 per ounce, the price of US silver was essentially unchanged.
Chinese platinum bar held its value last Friday at CNY 252.00 ($41.03) per gram. The price of US platinum bar held steady at $1,190 per ounce. Japanese platinum bar stayed flat at around JPY 4,477 ($41.12) per gram.
Following a two-day rise, the price of Japanese palladium bar flattened at JPY 2,850 ($26.18). US palladium bar held its value last Friday at $765.00 per ounce. The price of Chinese palladium bar showed little movement last Friday at CNY 169.00 ($27.52) per gram.