Monday August 29.
Spot gold has come off its record highs of over $1,900 an ounce hit last week,
falling back to around $1,820 an ounce, but such dips appear only to embolden
consumers.
"Many Chinese investors and consumers see price
corrections as buying opportunities. The view that gold is an enduring store of
value is firmly rooted in Chinese cultural traditions," said Hou
Xingqiang, a gold analyst at Jinrui Futures.
"Gold's rally over the past two years and the debt
worries in the West have only strengthened Chinese investors' belief that they
need to own the metal as an investment asset."
There is no shortage of bulls on Wall Street forecasting
even higher gold prices, with J.P Morgan predicting at least $2,500 an ounce by
the end of the year.
No comments:
Post a Comment