A senior figure at ETF Securities claimed yesterday (February 12th) that investors are now becoming increasingly convinced that Gold Prices are going to stay high, Citywire.co.uk reports.
Gold was one of a number of commodities to experience a particularly volatile 2008, with a record $1,033 per ounce attained in March but a drop below $700 following in October.
However, the price has since increased by 22 per cent and according to Nicholas Brooks, head of research at the London-based firm, Investing in Gold is now proving to be popular.
He told the news provider: "I don't think people were clear where the gold price was going. They were waiting to see. But now there is increasing conviction they will stay high."
The concept of investors now having more faith in gold was echoed last week by Rory McVeigh, a trader at Commerzbank, the second-largest bank in Germany.
"The fact that gold as an asset class has more trust in it than a lot of other financial products out there at the moment means people are continuing to push money in there," he told Reuters.
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