Investor Demand for Gold Soars

Wealthy speculators and governments rushing to boost their gold reserves are sending demand sky high, a level some expect prices to reach as well.

“It’s not that gold has changed, but gold buyers have changed,” Suki Cooper, a precious-metals strategist for Barclays Capital told The New York Times.

“It’s a structural shift we’re seeing on the investing side, from Asian central banks right down to individual investors buying ingots and coins.”

The World Gold Council says that gold demand for jewelry plunged 20 percent while investor demand for gold increased 51 percent during the second quarter. (more)