24
May
Gold Rising as Euro Weakens Spurs More Speculation
24 May 2010 Business Week
Speculators are buying gold faster than the world’s biggest producers can mine it as analysts forecast a 26 percent rally that may extend the longest run of annual gains since at least 1920.
Exchange-traded products backed by bullion added 42.5 metric tons in the week to May 14, the most in 14 months, data from UBS AG show. China, Australia and the 16 other largest mining nations averaged weekly output of 42.3 tons last year, researcher GFMS Ltd. estimates. Even though prices have fallen 4.8 percent to $1,189.75 from a record $1,249.40 an ounce May 14, the median in a Bloomberg survey of 23 traders, analysts and investors shows it will reach $1,500 by the end of the year.
