LBMA poll sees modest rise in gold prices in 09

Written by Commodities Bureau | Mumbai, Sep 30 | Updated: Oct 1 2008, 05:30am hrs
Spot gold prices will rise to a modest 6% over the year 2009, to around $959 an ounce as the US dollar weakens and the financial crisis eases, a snap poll of delegates at the London Bullion Market Associations (LBMA) annual conference, revealed. The conference was held on Tuesday in Kyoto, Japan.

Spot gold will rise by about 6% to $958.60 by November 2009 as the dollar weakens and the grip of the financial crisis eases, while platinum and palladium prices are expected to soar, according to an anonymous electronic poll of 196 traders, analysts and industry executives at the LBMAs annual conference.

According to Jeremy Charles, chairman, LBMA, The financial crisis on Wall Street and tight credit scenario will keep gold prices high. The poll also showed expectation of silver prices rising to $13.80 by November 2009, up from around $13 an ounce. The poll found delegates expecting platinum to rally to $1,488.20 an ounce and palladium to reach $390.10.

The LBMA delegation at the annual conference in 2007 at Mumbai predicted that gold prices would rise to $843.70 an ounce by September 2008.