Gold prices held steady on Thursday, despite the decline in stocks because of the debt crisis of the euro area, which may lead investors to sell the precious metal to cover their losses has also developed a strength of the dollar more pressure on prices.
Japanese stocks and recorded the lowest level in two years and a half and the euro suffered from stress after he raised an auction for the sale of bonds of Germany fears that the worst stretch of sovereign debt crisis faced by Europe’s major economic power in the continent.
And rose gold Spot 0.06 percent to 1693.84 ‘ٍUSD/Troy per ounce by the time 0702 GMT, after down Wednesday because of the decline in stocks and weak economic data from China.
Gold prices fell more than ten percent since the highest price ever at about 1,920 dollars in September. The report said economic specialist that gold prices fell during the trading last week under the influence of profit-taking and investor fears of the economic conditions surrounding the EU. The report expected to rise ounce of gold in international stock markets to the level of 1775 dollars “in the case of exceeding the resistance first at 1748 dollars.” where the gold will draw strength gains from the actual demand, especially after a lot of investors seeking to purchase at current prices to reap profits in the coming days. He noted that the sharp decline in European stock markets and U.S. led many traders to liquidate their assets in gold to cover their losses in the stock exchanges and this is why the yellow metal prices to decline last week.
A report of the Emerald Jewelry that the conduct of trading in the past week is a natural reaction and a true translation of the reality of the dominant economic events on the global markets and the stages of a crisis in the European region of the crisis, Greece, Portugal, Italy, to the political crisis in addition to the concerns that revolve around France.
The report confirmed that these factors have prompted investors to take hasty decisions moved away from the gold it is natural that there is an increase in supply and drop prices, “especially after the establishment of a conservative large in the global market to sell more than two billion dollars of the yellow metal during the hearing last week, what happened to a lot stunned investors of the impact of news. “typically rise with the prices of precious metals unit increase in the aggravation of economic direction of global markets and investors towards safe haven, but what happened last week is” is opposed mainly cover the loss of profits of stock market prices of gold. ” The report noted that this viewer is my time and disappears the demise of the influential “and witness to this that the price of gold, the current increase in the price of last year, more than 25 per cent” and this is confirmed by the World Gold Council in his latest report, which showed that there is a rise in demand for the third quarter of the year current of more than 1053 tonnes of gold, an increase of 6 per cent over the same period of 2010. He said there was also an increase in orders from central banks around the world by 148 tons to the efforts of some countries to return to the gold to be used as a reserve in support of the local currency.