Gold first quarter results ‘best in three decades’


Gold has displayed its best performance in almost three decades, according to a report released yesterday (April 7) by the World Gold Council.

In the first quarter of this year, the price of gold increased in the major trading currencies, rising by 17% in the US dollar, and 11%, 20% and 9% in the euro, British pound and Japanese yen. It was also up 16% in Chinese renminbi and Indian rupee terms, as well as 12% in Turkish lira.

“The return on gold significantly outperformed other major stock, bond and commodity indices,” the World Gold Council reports.

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“We believe that market uncertainty and expansionary monetary policies will continue to support both investment and central bank demand. This, combined with an analysis of previous bull-bear cycles, suggests we may be entering a new bull market for gold.”

According to the World Gold Council, the rally in the gold price is being supported by five key factors: ongoing concerns about economic growth and financial stability in emerging markets; a hiatus in the rise of the US dollar; the implementation of negative interest rate policies by leading global central banks; the return of pent up investment demand for gold; and the price momentum created by investors following gold’s upward trend.



Tags : World Gold Council Q1 results
Naida Redgrave

The author Naida Redgrave

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