David Tait, CEO of the World Gold Council, stated that the probability of the price of an ounce of gold reaching $5,000 is “very high,” given growing global concerns and the continued increase in holdings of the precious metal by central banks, especially in developing countries.
In an interview with “Al-Sharq” on the sidelines of the Dubai Precious Metals Conference, Tait indicated that the customs duties imposed by Trump led to a rise in the US yield curve with declining confidence, which stimulated hedging with gold. He also explained that central banks also took the initiative to buy for fear of a widespread financial collapse, and expected countries with weak currencies to continue to strengthen their gold reserves.
He added that expectations indicated that global gold purchases would reach about 700 tons this year, but the pace has slowed down somewhat, with the purchase volume so far settling at about 600 tons, with demand remaining at strong levels. (Al-Sharq)
