Gold prices took a little tumble this week prompting continued profit taking by customers with online trader GoldMoney.
Dealing Manager at GoldMoney, Kelly-Ann Kearsey said: 'We had a fairly quiet week as expected with the public holidays in the UK and US, but actually our volumes were up on last week as we saw a profit taking sell off in our western vaults. Having said that we still have marginally more buyers than sellers with fresh orders coming into our eastern vaults during the week. The positive economic data from the USA and Chinese demand failing to pick up, despite the drop in prices, both weighed on gold's sentiment.
'We also registered some profit taking in silver, but with the gold/silver ratio still high at 66.15 and industrial demand steady, many believe the silver price has room to grow and the profit taking was limited.
'There was some buying interest in platinum from our customers taking advantage of the slight dip in price. The South African mine strikes are entering their fourth month squeezing supplies amid some industry expert predictions that demand could soon outstrip stocks if the strikes aren't ended soon.
'Next week could be a little more interesting for the gold market with some direction likely to come out of key US economic data releases.'
16:00 29/05/14: Week on week performance: Gold fell 3.2% to $1,256.20; Silver lost 2.9% at $18.99; Platinum dropped 2.3% to $1,455.50 while Palladium also slipped 0.5% to $831.15.
NOTES TO EDITOR
GoldMoney is one of the world's leading providers of physical gold, silver, platinum and palladium for retail and corporate customers. Customers can trade and store precious metal online easily and securely, 24 hours a day.
GoldMoney has offices in London, Jersey and Hong Kong. It offers its customers storage facilities in Canada, Hong Kong, Singapore, Switzerland and the UK provided by the leading non-bank vault operators Brink's, Via Mat, Malca-Amit, G4S and Rhenus Logistics.
Historically gold has been an excellent way to preserve purchasing power over long periods of time. For example, today it takes almost the same amount of gold to buy a barrel of crude oil as it did 60 years ago which is in stark contrast to the price of oil in terms of national currencies such as the US dollar.
GoldMoney is regulated by the Jersey Financial Services Commission and complies with Jersey's anti-money laundering laws and regulations. GoldMoney has established industry-leading governance policies and procedures to protect customers' assets with independent audit reporting every 3 months by two leading audit firms.
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