By Charlotte Mathews
Business Day (South Africa)
The slump in the gold price to about $1,288/oz in Asian trading on Monday morning seemed about to fulfil predictions in the latest Thomson Reuters GFMS Gold Survey 2014 that gold could drop towards $1,100/oz in the middle of this year.
Gold’s weakness reflected concerns about the extent of Chinese demand and heavy sales from exchange-traded funds (ETFs).
Thomson Reuters Metals, GFMS Research and Forecasts head Rhona O’Connell said in the survey that gold demand was likely to soften during the course of this year as US Treasury yields increased and equities became more attractive.