Prices on precious metals in Armenia dropped over week after sharp rise

 

As the Armenian State Depository of Precious Metals and Precious Stones of the Armenian Ministry of Finance told ArmInfo the following prices have been fixed for the precious stones between February 22 and February 28: the price of gold in Armenia (small gold bullions) 

is fixed at 19305,85 AMD (0.4% weekly growth), silver in Armenia costs 243,80 AMD, (0.3% drop over week). Within the period under review, platinum costs 14935,27 AMD, up in price by 0.5% over week, and palladium-8126,69 AMD, dropping  in price by 1.1% over week.

 

According to data of international stock exchange, as of February 25, 2016, 4:13 pm, the spot price of gold totaled 1238,1 USD (dropping insignificantly in price by 0.06%), silver prices-15.27 USD, platinum-942 USD (without daily changes) and palladium prices- 493USD.

 

Russian analysts think that growth of gold prices is determined not only by its traditional role of "safe haven" but also by growing demand of the central banks of the world. A lot of leading countries currently are softening their monetary policy. This leads to change of reserves structure and growth of demand on gold. Russian experts think that in the Q1 gold will be sold at $1050-1070 for one ounce, at the same time short term drop to 900-950 is possible. Most likely the situation will last till the end of the first half of 2016, as during this period dollar will be strengthening. At the same time analysts note that the second half of 2016 will be more favorable period for gold, as monetary policy of Federal Reserve System will lead to growth of inflation in the USA to 2%. At this background the price of asset may raise to 1100 USD for 1 ounce and in the end of 2016 if the inflation turns out to be higher, the price on metal may 

rise. Drastic changes may occur only in Q3-Q4 at the background of growth of inflation in the USA, weakening of dollar, as well as growing demand during traditional festivals in India.