Latest Search
Quote
| Back Zoom + Zoom - | ||||
|
UBS Wealth Mgmt: Ongoing Central Bank Gold Buying to Back Prices, Seen Reaching USD5,900/oz by Yr-end
Recommend 9 Positive 5 Negative 7 |
||||
|
||||
|
A report by the World Gold Council highlighted a 42% spike in demand for gold bars and coins, UBS Global Wealth Management Chief Investment Office APAC stated. Global demand for gold bars and coins whopped 474 metric tons, marking the strongest quarter on record for individual physical gold purchases, with buyers primarily from Asian markets. The wealth manager believed this indicates that gold demand is driven not only by institutional investors but also by retail investors actively using gold for portfolio diversification. In the meantime, demand from institutional investors remains robust. Central bank purchases grew 3% to 244 metric tons and were expected to keep full-year central bank buying at 900-1,000 metric tons, in line with the elevated levels seen in recent years. Besides, strong interest from Middle Eastern sovereign wealth funds suggested that institutional demand is magnifying, further supporting the manager's view that official sector buying will continue to provide structural support for gold prices. Therefore, UBS Global Wealth Management upheld that the recent feebleness in gold prices is brief and expected prices to soar to USD5,900 per ounce by year-end. While ongoing uncertainty in the Middle East may curtail sharp short-term rallies, it stayed positive on gold's role as a store of value, since concerns over political overhang and fiscal deficits should further underpin demand. A weaker USD before year-end was also expected to bode well for gold prices. Auto-translated by AI This article was automatically translated by AI, the original language version should be considered the authoritative version. AASTOCKS.com Limited does not guarantee its accuracy or completeness and accepts no liability for any damages or losses arising from the use of this translation. More Details
AASTOCKS Financial News |
||||
Copied to Clipboard
 |
||||
