Asia Bizz: Gold prices fell impressively on Friday, as China the economic giant increased its bank reserve requirements and US on the other hand has shown positive growth and decrease in its trade gap. The Gold figures dropped by almost 2%, which is the highest weekly drop in two months. American investors pulled out their gold profits and pumped it into the economic system, reviving some hopes for the US.
Barclays Capital officials stated that because of the profit taking, gold was pressurized and that’s the reason the prices fell. An analyst stated “Gold has still found healthy physical demand upon price dips even after the seasonally strong period for demand, but perhaps more importantly, we haven’t seen a surge in scrap supply,”
HSBC has said that as the prices fell, Gold demand eventually increased and also pointed out that emerging markets like India and China will be the massive customers for Gold. The prices fell to $1,385.92 an ounce from $1,430.95 which is almost 0.1%.
Source: Reuters
