Struggling to get through the day? We’ve got your backApril 29, 2015 12:20
As Gold begins yet another price ascent, Kipp asks if the humble and home grown pearl industry holds some value for investors. Perhaps all that glitters is not gold after all…
November 23, 2010 1:55 by Eva Fernandes
The uncertainty of any financial recovery following the global financial crisis coupled with the depreciation of the dollar (deliberately provoked by quantitative easing) has made investing in gold a very attractive option. In fact it’s one of the few stable assets available in these troubled times, hence why gold prices have been on the up more or less continuously for months.
In fact gold prices have been increasing since 2009 and have even hit record highs, reaching as high as $1,400/oz. In the last year gold appreciated by 24 percent and as of October, gold had appreciated by 29 percent in 2010. But last week, there was a hiccup in the “record-breaking spree of making lifetime highs” when gold dropped by $38 an ounce. This drop has got analysts speculating on the future of gold prices, and now the option of revisiting the UAE’s former primary industry has entered the conversation.
For weeks now, gold experts have been arguing over the likely future of the precious metal’s price; while some think prices can only continue up, others say the market is overdue a correction. Analyst Alex Dumortier is one such analyst, who believes that gold prices are likely to decline by almost 66 percent to its regular average of $465/oz if “economic recovery stabilizes and high inflation doesn’t materialize.” Though it remains unclear if and when such developments will occur.
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