Falling Gold Prices Raise Central Banks Gold Purchases


Gold continued its decline for the third consecutive touching week lowest level since mid-March at $ 1175 per ounce of his sales operations that have taken place in the markets the weekend after breaking ounce support of $ 1193 per ounce, as well as support of $ 1182 and the collapse of prices to a new low in light of positive data for stocks The US, which lifted stock indexes to record highs where he achieved the Dow 18080 and Nasdaq 100 5092 and despite the lack of dollar reaction to these indicators and low value against European currencies

Particularly the euro and sterling, but the positive results of big companies such as “Google” and “as Microsoft” and “Amazon” pulled liquidity to stocks again landed prices of gold to new halls we have not seen from six weeks and we expect that gold will continue to fall next period due to continued strength in US stocks and the direction of liquidity into higher-yielding investments, though some look to the current prices as a good opportunity to buy and build centers new and oriented to the central banks of Turkey, Belarus and Kazakhstan, which raised its holdings of the yellow metal and we expect that there will be more on the purchase of gold during the month of April and May and will be the actual purchase orders are the strongest supporter to raise the price of gold.

Will continue to be the US Federal is the face the major dealers in the market to determine the direction of gold in the coming period and set a date to move interest rates and the value can be gold continues to trade below $ 1200 per ounce until the end of the year in the case of the Federal his decision in the second quarter or early third quarter, although the data the stability of gold at current levels is the closest because the economic situation or political Negotiable surprises at any moment and all possibilities be at the same distance from the current prices.

You must be logged into post a comment.