Business | Markets
Average gold prices could jump 10% this year
Average gold prices will jump nearly 10 per cent this year and gain further in 2008 as a weaker dollar outlook, less aggressive sales by central banks and physical demand will boost investor interest, a Reuters poll showed yesterday.
- Reuters
- Published: 00:21 July 12, 2007
London: Average gold prices will jump nearly 10 per cent this year and gain further in 2008 as a weaker dollar outlook, less aggressive sales by central banks and physical demand will boost investor interest, a Reuters poll showed yesterday.
The global poll of 33 analysts and traders conducted over the past month arrived at a median price for gold of $670 a troy ounce, up from an average of $612.10 in 2006 and about three per cent higher than the figure from a poll in January.
Gold is forecast to rise to an average of $681.00 in 2008, up four per cent from the January poll for the same year. That compares with a 23 per cent surge in 2006 and 18 per cent in 2005.
Other precious metals
Other precious metals are expected to perform more strongly than gold, with the average for silver seen surging by nearly 14 per cent this year, platinum gaining more than 11 per cent and palladium rising by over 13 per cent.
"We believe the medium-term environment remains constructive for the gold price outlook," said Michael Lewis, global head of commodities research at Deutsche Bank in London.
More from Markets
More from Business
Business Editor's choice
-
Two Europe banks to inject new cash
Bank of England to pump £50b into UK as ecb mulls second credit offer
-
Nokia cuts 4,000 jobs in 3 countries
Company is struggling to make inroads in the smartphone market
