YEREVAN, May 21. /ARKA/. Gold price went up by the end of trading on Friday due to investors’ increased purchases and the dollar’s fallen value, RIA Novosti News Agency reports referring to the information received from stock markets.
In closing Friday, gold prices for June delivery rose 1.1% to $1,591.90 an ounce on the Comex in New York. On the week, the metal gained 0.5%.
The dollar fell from 81.45 percentage points to 81.16 points against six countries’ currencies by closing.
“The move up is largely a bounce back from the steep declines we had been seeing in the last two weeks,” Rohit Savant, an analyst with CPM Group in New York, was quoted by Bloomberg.
Moody’s rating agency downgraded Spanish banks amid rising concerns over the credit worthiness of the institutions and over the ability of the Spanish government to support them during the current crisis.
Moody’s experts say things in the banking sector will keep worsening.
Gold climbed 10% in 2011. The precious metal’s rise has never been so long, at least since 1920.
Gold price rose 6.7% in the first quarter of this year, but in April it slipped 0.5%.
The yellow metal price is mainly driven up by investors’ fading confidence in currencies Europe’s ongoing debt crisis and the accelerating inflation in many countries. -0—
