The gold benefits from fresh investments
18-02-2010 golden marketThe gold in particular and the prime matters in general are still benefiting from fresh investments in 2010.
This week the golden ounce has obtained his biggest profit in more than 3 months as the long fiscal suspense of Greece has renewed the interest in the gold like a refuge of investment. Some operators mentioned that the upturn of the gold was associated with a strong safety buys wave by the fiscal suspense that reigns in Greece.
The prices of the gold have raised consistentemente this week because the fears of the investors on the fiscal health of a series of countries of the Euro area, like Greece, Portugal and Spain, have led them to buying the metal as coverage opposite to the instability on the exchange markets. These worries, and the persistent weakness of the single currency, raised to the gold valued for euros to historical maxima on Tuesday.
Commerzbank said in a report:
“Together with the inflationary fears of long term, the risks that hover in the Euro area obviously take the investors to the gold, and Greece keeps on being the domineering topic. The crisis of the public debt of Greece, which keeps on being a Damocles sword, will lead the investors to seeing the gold again like sure refuge.”
Ole Hansen, manager senior of Saxo Bank, said:
“The problems of sovereign debt combined with the weakness of the dollar have given the sufficient impulse to the gold to break the levels that will attract new buys. The next target now in 1.126 dollars.”
Matthew Turner, analyst of VM Group, said:
“One would hope that it him should go to the gold well, considering the problems in Greece for the governmental debts. The crisis of Greece has been a little exaggerated, but it is still causing nervousness between the investors. The solution to all these debt problems the devaluation or the inflation seem to be, and they prop both up to the gold.”
The relation of the gold with the dollar has been restored.
The weakness of the North American unit impels the attraction of the gold like alternative assets.
The analyst Andrey Kryuchenkov of the signature Cardinal VTB said in a report:
“The dollar should have a significant regression to give impulse to the gold, even although it keeps on being an attraction like coverage against the risk of nonperformances of payments.”
Peter Fertig, consultant of Quantitative Commodity Research, said:
“This indicates that the investors are ready to take more risk. If new investors enter the market, he reaffirms that to other investors that the correction can have ended.”
The pension funds began investing actively in gold the year 2009 before the attraction of the gold like a long-term sure investment, he said the World Council of Gold (WGC). The WCG thinks that the appetite of the investors for the gold might be still strong this year 2010.
The director of Management of Matters of Direction of the World Council of Gold (WGC), George Milling-Stanley, said:
“We will see some recovery in what there have been the depressed sectors of the demand, together with a continuous and strong demand of the side of the investment.”
The analyst of Standard Bank, Walter de Wet, said:
“The demand of investment in gold of the United States and the absence of golden sales in Asia they are impelling an increase of the gold. A fall of the clear long positions in the futures of the gold of New York was suggesting that the gold had space to advance. For most of these prime matters, the speculative length has gone down substantially, therefore there is space so that between more money.”
Interesting are the last movements of some Hedge Funds that they confirm that the investment in gold is better nowadays and - of course - in the long term.
This way it has been known what George Soros has increased his exhibition to the gold by means of ETFs in the last semester of 2009.
According to the SEC, the Soros society has increased his participation in the SPDR Gold Trust in approximately 421.000.000 of dollars to come to a whole of 663.000.000 of dollars.
The SPDR Gold Trust has raised in January, 2010 2,2 %, and throughout 2009 it gained 24 %.
Namely Soros has done the opposite to the above mentioned for him in the Forum of Davos (Switzerland), “… gold is a bubble …”. It is necessary to understand the investment in gold on the part of Soros as a maximum and last notice on the bad state - without green sprouts - of the world economy.
According to the newspaper Economist of the 18-02-2009th, John Paulson, the agent of the biggest hedge fund of the world also is praised by the gold and the financial sector.
Also the newspaper Five Day of 18-02-2010 does echo to the increasing golden demand, although it is by means of a released note by means of which the demand for golden ETFs has increased 85 % the year 2009, promoting the entire consumption to 100.000 million dollars.
18-02-2010
