Weekly gold market review 08.10.14
As it is known, September is considered one of the best months of the year for gold. It is in September when the price of gold often reaches its annual maximum. However, despite the fact that the yellow metal showed an increasing trend for many years, September in this year was rather weak for gold.
Nevertheless experts say that it is too early to lose confidence in gold. Moreover, they are sure that very soon the price of gold will stabilize and begin a rapid growth again. As World Gold Council says, the role of the yellow metal in the world market will only increase. Experts explain this by the development of modern technologies. Now gold is used in many areas of life, including industry and medicine. The demand in these fields increases every year, and this means that the further development of technology and medicine will have a positive impact on the gold price.
As we learned from the last weekly report, two well-known Canadian experts in the field of investment, Eric Sprott and Jim Rickards, advise people to keep at least 10-20% of their assets in gold. They claim that there might be new sharp declines in several sectors in the current economic crisis, and now there is an opportunity to handle the future situation keeping capital in safe assets. Experts warn that already for a long period central banks have carried out different manipulations of gold prices. However, this situation will not last forever.
Now the situation is as follows: the gold market did not stabilized by the end of September, and was unable to gain a foothold above the level of $ 1,230 per ounce. However, the level of consolidation remained near $ 1,225.
Last Friday the gold price fell to the minimum of $ 1,183.3, and then rose up to $ 1,195. According to analysts, gold will remain more stable to lower prices than other precious metals. This will lead to a rapid narrowing of the difference between the yellow metal and platinum, which will play a positive role in the price of gold.
What is the forecast for gold in October?
Over the past four decades, in more than 20 occasions, the price of the yellow metal has been declining in October. 4 times gold reached its maximum, and twice it demonstrated an annual minimum. This year, according to experts, after the unexpected fall of prices in September, it is logical that the price of gold will again grow and stabilize. However, based on the statistics of previous years, there were made early predictions that have not been yet confirmed.
As many investors claim, the global economy has already passed the "point of no return." There is a little growth in the United States, but they say it will not continue for a long time. This means that soon people will once again turn to gold as a safe asset to save their capital. This fact will greatly affect the price of gold and it will begin rapid growth.
This moment is used by the most forward-thinking customers of Emgoldex, who preserve their capital in gold and get a high stable income through the marketing program of the company.
Category: Gold news Publication date: 2014-10-09 11:11
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