3 Reasons Gold Price May Embark On An Extended Rally
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– History may repeat itself for gold demand and prices as world economy looks set to slow
– Three reasons for gold’s extended rally from 2008 to 2011 may be making a comeback
– As global growth looks to be slowing, hopes grow for repeat of 2008-11 rally that saw gold almost triple in value
by Clyde Russell of Thomson Reuters
The three legs that supported gold’s extended rally from just after the 2008 global recession until the all-time peak in 2011 may be making something of a comeback this year.
Gold in USD 10 Years – GoldCore.com
This is sparking hopes that the precious metal may finally break out of a fairly narrow five-year range, although it’s still far from certain that the dynamics for a sustained rally are entrenched.
The 2008-11 rally that saw spot gold almost triple in value to reach a record of $1,920.30 an ounce was built on three pillars, namely strong physical demand from top buyers China and India, robust central bank purchases, and appetite for a safe haven investment amid the fallout from the global recession.
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Mark O'Byrne is executive and research director of www.GoldCore.com which he founded in 2003. GoldCore have become one of the leading gold brokers in the world and have over 4,000 clients in over 40 countries and with over $200 million in assets under management and storage.We offer mass affluent, HNW, UHNW and institutional investors including family offices, gold, silver, platinum and palladium bullion in London, Zurich, Singapore, Hong Kong, Dubai and Perth.
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