Gold futures on the COMEX division of the New York Merc rose Wednesday to the highest level since 12 April on strong demand from Asia.
The most active gold contract for June delivery gained 24.9, or 1.72% to settle at 1,473.7 oz.
Demand for physical Gold from Asia, China in particular, remains strong.
On Shanghai Gold Exchange, more than 20 tonnes of Spot Gold contracts for Gold of 99.99 percent purity were traded in the last 2 days.
Back on 18 February the 1st trading day after the traditional Chinese Lunar New Year Holiday, the exchange saw 22 tonnes of Gold traded. The Chinese Mainland’s imports of the precious Yellow metal from Hong Kong SAR has surged to 223.52 tonnes in March from 97.11 tonnes in February.
Funds like HeffCap’s Metals Funds that have built a unique portfolio of Metals and Metal related derivatives and equities are set to see strong growth for the next few years.
China’s swinging back to trade surplus also boosted gold. China reported a trade surplus of 18.16 billion dollars in April, after reporting an US$ 884-M deficit in March. The USD’s going weak against major currencies further lent support to Gold.
Market analysts hold that gold prices would be range-bound in near future.
Silver for May delivery rose 12.1 cents, or 0.51 percent, to close at 23.927. Platinum for July delivery climbed 23.7, or 1.6%, to close at 1,504.9 oz.
