Goldman Sachs U.S.A predicted a decline in gold prices this year to $ 1,600 USD/Ounce of gold compared by its previous expectation about gold price, which amounted to $1810 USD/Ounce of gold after the low price of gold during trading, which began last October and an increase in real interest rates in the United States.
The news agency Reuters mentioned that the bank reduced expectations for 2014 to $ 1450 USD/Ounce instead of $ 1750 USD/ Ounce of gold, and reduced expectations for the price of gold for the next three months to $ 1615 USD/Ounce from $ 1825 USD/Ounce of gold and expectations during the six months to $ 1600 USD/Ounce of gold instead of $ 1805 USD/Ounce of gold and during the 12 months to $ 1550 USD/Ounce rather than $ 1800 USD/Ounce of gold.
Most of decline of gold price conceded with the gradual rise of real interest rates in the United States, reflecting the superiority of the U.S. economic data on analysts’ expectations and explanation tougher for the latest comments from the Federal Reserve and the decline in the level of financial risk in the United States and Europe’s sovereign to the extent that price movements of gold price, and real interest indicate a shift in the course of gold price was expected to happen in the second half of the year.