Gold Prise Rise As Rise In Prise Of Oil

Discussion in 'Commodity Futures' started by tradebenz, Oct 18, 2006.

  1. Gold price rise in Asia as there was rise in oil price encouraging some investor to buy this precious metal to hedge against inflation. The price of gold is moving in the same directions as the prices of the oil this is happening since the fall in price of oil from 73 $ a barrel to 57.75 $ a barrel this is a great difference. Some investors buy gold as it can hold its value better than other assets when inflation accelerates. A part from that the festival season in India is also creating more demand for the metal where by they treat as a good luck by wearing new ornaments on the festival day.