Malaysia Gold Price Driven By US Dollar

















While the Goldman Sachs saga has also been the main factor affecting the precious metals, geology has also been an issue. Gold is often transported using commercial airlines. With flights in much of northern Europe still banned, due to the volcanic eruption in Iceland, there are concerns over the availability and movement of physical gold.

Much of the market seems happy to wait the disruption out. However, with Zurich a no-go zone for the moment, the focus for material is shifting elsewhere, impacting on premiums in other parts of the world. The general market consensus is that the flight disruption will be short lived, however given that volcanic activity in Iceland can be rather protracted, the disruption may
last longer than is currently anticipated.

Back home to Malaysia, gold demand still good due to the price is low however as recovery of US dollar vs Ringgit Malaysia gold price may likely to move high at 2H2010.

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