Financial news

Gold market has all perspectives for further growth. Precious metals market review. 19 September, 2007.

As of 19 September situation at precious metals market was characterized by quotation stability. Today during morning trade session in Asia gold was traded at the level $723,00-$724,00 per ounce, and while opening New-York commodity exchange gold at bid was at the level $723,00. 18 September on commodity exchange in New-York the closure was fixed at the mark $715,00 per ounce.

Decision of the USA FRS to support growth rates of national economy by lowering both base and discount rates, was made practically after closure of day session of gold market. That is why main events were spread in the system of electronic trades. This day US dollar failed sharply again in respect of other main currencies, and oil price notably increased as well. Investors purchasing «black gold», understand that one of the circumstances accepted on decisions rates can become increase of USA economic growth rate and it will lead to the demand increase on energy sources. However high prices in energy sector of economy will respond at the level of consumer demand of the USA population and can lead to new burst of inflation. Now gold market has all perspectives for further growth, and near-term forecasts of participants comprise estimations on level determination in $750,00 per troy ounce.

London morning fixing 19 August constituted $723,75 per ounce, when rate of National bank of Ukraine was fixed at the mark $717,70 per ounce.

Comments of Roman VALESYUK, Senior Vice-Chairman of the Board of JSC "PRAVEX-BANK" on precious metals market. 19 September, 2007.