Right Ways: gold

Showing posts with label gold. Show all posts

Wednesday, March 5, 2025

MACC confirms former PM Ismail Sabri is a suspect in RM170m graft probe, items seized: Cash, gold, other loot

PUTRAJAYA: With bundles of cash in numerous currencies, as well as gold ingots and luxury watches totalling millions uncovered, the question now is how deep the current corruption probe into former prime minister Datuk Seri Ismail Sabri Yaakob goes.

At a press conference on the matter at the MACC headquarters here yesterday, Chief Commissioner Tan Sri Azam Baki said MACC was now viewing Ismail Sabri as a suspect and not just a witness.

“In this matter, I can say that he is a suspect in the case.

“Firstly, Section 36 (of the MACC Act) has been issued for asset declarations.

“Secondly, since the money was found with links to him, we will need his statement on the discovery,” said Azam.

Yesterday’s press conference displayed the recent haul of monies found in raids linked to the investigation.

Precious items: The foreign currencies and gold items that were seized being displayed at the press conference at the MACC headquarters in Putrajaya. — Bernama

Bundles of cash were arranged and grouped together according to the respective currencies.

Several luxury-brand watches and gold bars were also on display.

On Sunday, the MACC said in a media statement that around RM170mil in foreign currency and 16kg in gold worth nearly RM7mil were seized from “safe houses” following investigations into four senior officers who served under Ismail Sabri.

The foreign currencies seized included Thai baht, Saudi riyal, British pound, Korean won, euro, Swiss francs and Chinese yuan.

Regarding the seized monies, Azam said investigations were underway to trace finances.

“On this matter, our officers from the Forensic and Intelligence divisions will be involved,” he added.

On the current status of investigations, Azam said no Yayasan Keluarga Malaysia bank accounts had been frozen.

“We have yet to freeze the Yayasan Keluarga Malaysia account because it is not an individual account and remains active.

“However, accounts of the former prime minister are being investigated and we will seek explanations from him on all his accounts,” Azam said.

A total of 13 bank accounts with around RM2mil have been frozen as part of the investigations.

Azam said the Commission still needed to record statements from seven or eight other individuals for further action.

He also said Ismail Sabri would be called back in for additional statements, though it would depend on his current health condition.

“It is expected that the session will be conducted this Wednesday.

“The statement recording will be on his asset declaration and the cases currently being investigated,” Azam added.

When asked if Ismail Sabri’s former private secretary Datuk Nazimah Hashim was overseas as claimed by some parties, the MACC chief denied the claims.

Azam said MACC had met her for statement recording as well.

“Her statement has been taken and there has never been an instance where we had to get her statement from overseas. She is still in the country,” he confirmed.

Azam also denied claims that the investigation was politically linked, or a form of selective prosecution.

“Do you think it is selective? I direct the question back to you.

“I don’t think so. I always maintain that we investigate professionally and fairly.

“This is no current instruction from anybody. We act on our own based on information and evidence,” he said.

Four former officials, including two individuals with the title Datuk, who are linked to Ismail Sabri were previously remanded by the MACC on Feb 21, on suspicion of being involved in corruption.

It is understood that several cases are currently under investigation by MACC, including one involving government spending amounting to RM700mil for promotional and publicity purposes.

Source link

Wednesday, April 17, 2024

Factors underpinning bullish outlook for gold

Shining bright: A saleswoman showing gold bangles at a shop in Kolkata, India. The escalation in geopolitical risks in the Middle East may see the precious metal take centre stage this week. — Reuters

PETALING JAYA: There is a growing bullish outlook for gold as a safe and stable investment given the bias to shift towards monetary easing by major central banks, rising geopolitical tensions, aggressive purchasing by central banks and increasing global debt concerns.

OCBC Bank foreign exchange strategist Christopher Wong said while investors have adjusted expectations regarding the timing and extent of the US Federal Reserve’s (Fed) initial rate cut, the consensus that a cut is the next step remains firm.

“The prospects of global monetary easing, central banks’ sustained purchase of gold and geopolitical concerns remained the key drivers underpinning gold’s bullish outlook,” he told StarBiz.

Wong noted the European Central Bank, the Bank of England, the Swiss National Bank, and the Bank of Canada are expected to enter a phase of monetary easing.

“This synchronous easing potential should continue to boost the appeal of gold,” he added.

However, from a positioning and market dynamics perspective, Wong advised caution due to the risk of a near-term retracement in gold prices.

This caution stems from the rapid increase in gold prices in the short recent period and the currently stretched long positions in gold.

That was evident at last Friday’s price action when it hit a high of US$2,431 a troy ounce before profit-taking saw gold settle at US$2,343 for the week.

The escalation in geopolitical risks in the Middle East over the weekend could see the precious metal take centre stage this trading week as investors look for safe havens.

Wong’s medium-term forecast is for gold to rise to US$2,435 per troy ounce by the first half of 2024.

Meanwhile, SPI Asset Management managing director Stephen Innes pointed out unusual circumstances for gold market makers.

He said despite the 10-year US real yields reaching around 2% – the highest since the Lehman crisis – gold prices have continued to climb, setting record highs in 2024.

“Given that gold doesn’t pay any interest, it should be facing competition and pressure. However, despite this, gold has hit record after record high in 2024 and is far from being down and out,” he said.

Innes pointed out that the primary appeal of gold lies in its role as an inflation hedge.

“If you’re not a gold bug, the yellow metal has one primary appeal: it serves as an inflation hedge,” he added.

With no internal rate of return, he said its value often hinges on its ability to preserve purchasing power in times of rising prices

However, regardless of the inflation trends, Innes expected the Fed to cut rates.

This expectation is supported by the US national debt’s rapid increase, with much of this debt financed through short-term instruments.

“The US national debt is rising by US$1 trillion every 100 days. By the time Americans head to the polls in November, it’s expected to reach US$37 trillion. But most of this is getting funded in less than one-year tenor,” he explained.

Innes further explained that the US Treasury has substantially increased its issuance of treasury bills with maturities of less than one year.

The strategy has decreased the average maturity of its debt, making it more sensitive to short-term interest rate changes.

“As a result, this Treasury Twist encourages the Fed to reduce interest rates to ease front-end volatility,” he added.

Innes suggests that initially, the Fed’s interest rate cuts might not directly target reducing the Treasury’s borrowing costs.

However, he said eventually monetary policy could pivot towards facilitating this fiscal largesse.

Ultimately, Innes expects in the near to medium term, the Fed might find itself compelled to assist in managing the US Treasury’s interest payments by reducing rates – a policy shift that could continue to bolster gold’s appeal.

Source link

Related articles: