Thursday, August 2, 2012

Is the Gold Rush Over?


Sliding gold coin sales show that retail demand for the actual metal is clearly fading, but dealers and analysts say it is not because investors are less concerned about the financial turmoil around the globe, CNBC reports. There's just not the same fervor for the precious metal as in recent years.
"This is the first time in our economic history that we have a situation where there is such tremendous economic uncertainty and global fear when gold has not skyrocketed in tandem," said gold dealer Lee Rosenbloom, owner of Plaza 57 Appraisals and Plaza Collectibles in New York.

COMEX gold futures have declined 9.5 percent, nearly $200, from the 2012 peak near $1,800 an ounce, and prices over the past 12 months are basically flat. As for the physical metal, declining sales in U.S. gold coins - a real-time proxy for retail investment demand - along with a somewhat stagnant gold futures price indicate the frenzy over gold has calmed, but it's certainly not been crushed....

There’s more where that came from at http://finance.yahoo.com/news/gold-rush-over-175820898.html

No comments:

Post a Comment