The price of gold has broken out to another new high this morning following news that India's Central Bank purchased 200 tons of the metal from the IMF. Previously, the IMF had announced that it would sell around 400 tons, raising speculation that the planned sale would cause a glut of gold in the market. Based on India's $6.7 billion 200-ton purchase, the market may have an easier time digesting the increased supply than previously thought. The average price per ounce for the Indian Central Bank's purchase works out to around $1,045. With gold now trading at $1,079, they have already made $218 million (3.25%). Not bad for a few days work!
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I read in a blog that said investing in gold is the biggest idea these days. My brother told me to do so but I refused. Now he is playing with money and I am left with nothing. Anyway I suppose the prices will surely come down like market.
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Posted by: Gold Coins | November 09, 2009 at 03:21 AM
I can only see this market as one that is sure to crash - can someone tell me I'm wrong please?
Posted by: Quick Cash | January 29, 2010 at 07:53 AM