Gold price trend favorable
Since April this year, the price of gold has risen 15.1% so far, but this time seems to have concerns about financial meltdown receded, investors are turning to riskier assets. Gold can still maintain a good momentum, indicating that this, in the worst case of assets stand out there are still needs. World Gold Council released the latest "Gold Demand Tahitian pearls Trends" report indicates that global gold demand in the second quarter fell 9% to 719.5 tons. Among them, due to the impact of a global recession, gold jewelry prices and consumption, and jewelry demand fell 22% to 404.1 tons. However, identifiable investment demand of 151.9 tons from a year earlier, rose to 222.4 tons. Gold ETF, the inflow of the second quarter amounted to 56.7 tons, far exceeding last year's second quarter of the size of the inflow of 4 tons. According to India's Gem and Jewelry Export Promotion Council Sunday August data showed a substantial increase in gold jewelry exports by 40%, exports from the same period last year 388 million U.S. dollars (16.28 billion rupees) rose Freshwater pearls to 545 million U.S. dollars (26.07 billion Indian rupees).
Late last year, everyone is scared, the Treasury's performance actually better than gold. Merrill Lynch, the ten-year bond price index since last September to the end of the year jumped 11.6%. During this period the New York Mercantile Exchange (Comex) gold prices rose 6.6%, while in the collapse of the most serious, gold sold off. Finally the fact that Pearl jewelry when the proper functioning of markets (for example, now), and gold will bring benefits, but when the market crashes, gold is also the same with other assets will fall. However, the practice of Europe and the United States the central bank's favorable for gold price movements, especially the Federal Reserve (Fed), which is still published in support of a large number of key markets in U.S. dollars. This makes the inflation uncertainty, and thus beneficial for gold, to the detriment of U.S. dollars and other currencies. The Group of Twenty (G20), says that the central bank liquidity support is also the need to maintain for some time. This gold is undoubtedly a strong support.
Late last year, everyone is scared, the Treasury's performance actually better than gold. Merrill Lynch, the ten-year bond price index since last September to the end of the year jumped 11.6%. During this period the New York Mercantile Exchange (Comex) gold prices rose 6.6%, while in the collapse of the most serious, gold sold off. Finally the fact that Pearl jewelry when the proper functioning of markets (for example, now), and gold will bring benefits, but when the market crashes, gold is also the same with other assets will fall. However, the practice of Europe and the United States the central bank's favorable for gold price movements, especially the Federal Reserve (Fed), which is still published in support of a large number of key markets in U.S. dollars. This makes the inflation uncertainty, and thus beneficial for gold, to the detriment of U.S. dollars and other currencies. The Group of Twenty (G20), says that the central bank liquidity support is also the need to maintain for some time. This gold is undoubtedly a strong support.