Gold prices drop to USD 1,212 per ounce — report

Gold prices drop to USD 1,212 per ounce -- report
Gold prices drop to USD 1,212 per ounce — report

KUWAIT, March 27 (KUNA) — Gold prices dropped to USD 1,212 per ounce with a loss of 2.6 percent last week, recording the lowest rates within four weeks, said Sabaek Al-Kuwait Company on Sunday.
Gold ounce was traded at USD 1,222 at New York Kyomex stock exchange, with a drop of USD 22 compared to the beginning of the week, the company said.
The report noted that the rise of the US dollar’s exchange rate and the escape of liquidity to stocks markets and dollar-denominated investments have all boosted the gold’s sales and profits, adding that the current prices are higher than those recorded at the beginning of 2016 by USD 14,5.
The company, meanwhile, predicted that gold prices will rise again to settle above USD 1,250 in the light of the strong sales that occurred last week. Investors are awaiting statements of the US labor market for March, to determine whether or not the US dollar’s rate will rise, it added. The report also mentioned that buying manufactured gold, as well as demands on the yellow metal for investments and industry are prominently rising since the beginning of 2016, mainly in East Asia.
The current unstable situation of stock exchange, the weak performance of the US dollar and the drop in oil prices are all factors leading investors to seek gold as a safe haven, it noted.
As for silver, it reached USD 16 dollars per ounce at the beginning of the week, affected by the terrorist attack on Brussels international airport. Silver lost 4.5 percent of its profits within one week, recording the lowest price in a three-week period.
Sabaek also said that platinum dropped about USD 20, reaching USD 952, while palladium lost USD 15 reaching USD 576.
Meanhwhile, local markets were affected by the rise in gold prices and the unstable security conditions in Europe, however, buyers were mainly attracted to gold of 18 and 21 karat as prices started to drop.(end)