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Gold in Sterling and Euro Terms

This might be interpreted as a sign of relief and a reason not to invest in gold

but as I mentioned earlier, the main drive for the gold price recently has been the devaluation of currencies not a change in demand. The sovereign debt crisis in the Euro zone is not over yet and as gold keeps increasing in other currencies, the price in Euro terms has to follow; maybe not as rapidly as in other currencies, but it cannot move in the opposite direction for too long simply because of the laws of supply and demand.

Gold in Sterling and Euro Terms

By: KK Bullion
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