The combination of investors seeking protection against dollar depreciation and the spectre of future inflation combined with a shift in central bank reserve management as western central banks slowed gold sales and developing nations increased their gold reserves, supportedthe strong performance of gold during 2009, according to World Gold Council’s latest Gold Investment Digest. The report, which was published today, showed:
- The gold price rose for the ninth consecutive year to US$1087.50/oz on the London PM fix at the end of December 2009, which corresponds to a 25% increase in the price of the yellow metal during the year.
- On a risk-adjusted basis, gold recorded a better performance than other assets such as US and international equities as its relatively tame...
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