finance
Gold Falls Over 16 Percent in Worst Quarter Since 2013 While Central Banks Signal Further Buying
Gold futures dropped 1.24 percent on Wednesday while spot prices declined 0.82 percent. The metal posted a 16 percent loss for the second quarter, its largest since 2013. Silver prices also declined.
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Gold futures slid 1.24 percent in early Wednesday trading to $3,989.00, Cnbc reported. Spot gold prices fell 0.82 percent to $3,974.51 on the same day. The declines followed gold's worst quarter in 13 years.
The metal lost about 16 percent of its value in the three months ended June 30, its largest quarterly drop since the second quarter of 2013. Gold reached an all-time high of $5,586.20 on January 29 before the sell-off. Gold has fallen 7.76 percent year to date through the end of June.
Silver futures declined 3.34 percent to $57.31 percent to $57.80. Amundi Investment Institute said in its mid-year Global Investment Outlook that a challenging monetary policy backdrop, high public debt, and central bank diversification should support demand for gold and precious metals in the second half of the year.
Monica Defend, head of Amundi Investment Institute, said investors face a world in which central bank independence is being tested, inflation is more volatile, and concentration risks are growing.
The World Gold Council's recent annual Central Bank Gold Reserves survey found that more global central banks are poised to increase their gold reserves over the next year.
