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Gold becomes cheaper
22 November 2007On a background of the weakening dollar, the growing prices for oil and fears concerning the further negative consequences of credit crisis more and more investors are investing in gold, the price on which can bring rather quite good dividends now.
However, so sharp inflow of the speculative capital has already led to that the prices for gold confidently approach a mark of 900 doll./ounce. But experts warn investors, that in the near future the price of this precious metal can start to decrease.
On the eve gold has grown up to a mark of 845,50 doll./ounce that became the highest parameter for last 28 years. Chartered Bank’s experts mark that it reminds the effect of crowd. Now all investors have started to invest the capital in gold. However, as it can change very quickly. It is possible that in the nearest future the prices will remain at a present level, but as the markets will start to calm down, investors will cease to be interested in this metal.
According to the research lead by Reuters in July 2007, average cost of one ounce of gold has made about 670 dollars, that is considerably above, than in 2006 (612,10 dollars). Talking about future forecasts, economists mark, that in 2008-2009 the average price of gold will change within the limits of 700-750 dollars and the prices for this precious metal can reach four-unit parameters.
Thus, it is necessary to note, that far not everyone share such point of view. Some experts say that excessive freedom in the market of gold can considerably lower quantity of long-term investments.
- The gold price has not been so high almost for a year
- Russia has gained a new record on volume of gold and exchange currency reserves
- Gold and exchange currency reserves of China have reached $1,434 bln
- Gold and exchange currency reserves of China have reached $1,434 bln
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