Gold hit multi-month highs on China, US recoveries

London (Feb 16)  Gold prices hit multi-month peaks this week on the back of improved demand prospects in the world’s two biggest economies — the US and China — and a weaker greenback.

Gold hit a three-month peak at US$1,321.52 an ounce — the highest point since Nov. 7 last year, as sister metal silver also reached a three-month high at US$21.30 an ounce.

China’s gold consumption soared 41.36 percent last year, industry data showed this week, with state media reporting on Tuesday that the country has probably overtaken India as the world’s largest consumer of the precious metal.

Last year, China consumed 1,176.4 tonnes of the yellow metal, the China Gold Association said in a statement.

By late on Friday on the London Bullion Market, the price of gold rallied to US$1,320 an ounce (28.4g) from US$1,259.25 a week earlier, while silver jumped to US$21.09 an ounce from US$19.87.

On the London Platinum and Palladium Market, platinum grew to US$1,426 an ounce from US$1,379, as palladium gained to US$740 an ounce from US$711.

(Source:  Taipei Times)