Tuesday, 15 October 2019 08:35 WIB |
PRECIOUS METALS | Spot EmasEMASGOLD
The next push in gold prices will come from retail investors as risks remain skewed to the upside, according to Standard Chartered Bank.
Having already rallied to the highest in more than six years, bullion will still benefit from safe haven flows, according to Suki Cooper, precious metals analyst at the bank. Prices will average $1,510 an ounce in the fourth quarter of 2019 and $1,570 in the same period next year, she said.
A similar trend occurred in 2011, when the initial push higher was driven by ETF flows and tactical investors, but retail demand didn't respond for another 12 to 18 months, Cooper said. While progress on trade talks has triggered near-term profit-taking in gold, which could continue as risk appetite returns, the longer-term price risks are skewed to the upside, she added.
Spot gold was steady at $1,491.63 an ounce on Tuesday, following last-month's rally to $1,557.11, the highest level since 2013. Prices touched a record of $1,921.17 in September 2011.
Source : Bloomberg