23
February
Gold May Extend Rally as Bullion in Euro Hits Peak, Takai Says
23 February 2010 Business Week
Feb. 22 (Bloomberg) -- Gold may extend its rally even as the dollar strengthens as investors seek an alternative to a declining euro, according to Sumitomo Corp.
Gold priced in the 16-nation currency reached a record 826 euros today on concern debt-laden economies in the region will hamper recovery and amid speculation the European Central Bank will keep its benchmark lending rate at a record low.
“There is still a lot of appetite in the gold market,” Bob Takai, the general manager of financial services at Sumitomo Corp., said in a Bloomberg Television interview today. “People are now shifting their portfolio from multi-currency to gold. So from a currency point of view, gold is still favored by many investors in the world at the moment.”
