Tuesday, April 3, 2012

Gold Price Prediction


Gold prices are still fluctuating. After a climbed last week, gold had fallen again to around U.S. $ 1,654.9 per troy ounce (toz), Thursday (29/3). Gold prices rose 1.02% to U.S. $ 1,671.9 per toz, at the close of trading last week. However, opening in April, gold corrected back to the position of U.S. $ 1,667.3 per troy oz. Push of gold price has come true today despite still playing in the area of consolidation. The movement of United States dollars (U.S.) to be the main factor driving the price of gold.

Gold prices predicted to rise again. Why? Because improving global economic data caused the movement of U.S. dollar is weaker. That conditions then increase the demand for investment assets. The weakening of dollar boosted gold charm as an alternative investment.

If calculated, during the first three months of this yearthe gold price has climbed 6.7%. On the other hand, the position of the U.S. dollar defeated 1.5% against six major world currencies over the same period.

Dollar weakness against the euro was allegedly associated with the steps of the leadership of the European that strengthen defense wall of the crisis by adding a European rescue fund. Meanwhile, the Chinese economic data also showed a positive thing, in which the China Purchasing Manager's Index rose to its highest level in March in the position of 53.1.

Quoting a Bloomberg survey, 14 of 21 dealers of U.S. Treasuries, predicting the Fed will need quantitative easing to accelerate the recovery of the U.S. economy. If the Fed doing quantitative easing this year, plus a surge in fiscal deficits and declining U.S. dollar compared to other world currencies, then gold will be a principal investment.

Related Post



0 comments:

Post a Comment

Share

Twitter Delicious Facebook Digg Stumbleupon Favorites More