Gold Price At Lowest Level Since July

The price of gold has continued to fall and is now down to its lowest level since July.

A strengthening US dollar has weighed heavily on the value of the precious metal in recent months and fears the US Federal Reserve could soon taper its quantitative easing scheme have also had an impact on the commodity.

Bullion dropped yesterday (December 3rd) by as much as 2.7 per cent to $1,218 (£743.9) a troy ounce, reports the Financial Times.

Walter de Wet, an analyst at Standard Bank, predicted further liquidation of gold held in exchange traded funds (ETFs) will occur this week if jobs data from the US is positive.

Analysts at Barclays noted in a report: "Gold ETF holdings have failed to stabilise and preliminary data for November show outflows of 47 tonnes, a similar pace to October. Total metal held in trust has hit a fresh low since May 2010."

The falling value of gold has had a major impact on the share price of Albemarle & Gold recently, with the UK pawnbroker's directors confirming they are seeking a new buyer for the firm.

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