Saturday, May 26, 2007

Gold bulls retreat as cental bank sales bite

(Reuters) - Heavy gold sales from European central banks over the past two months have taken a toll on bullion investor sentiment, despite robust jewelry demand and as top miners say production may take a hit this year.

Prices of the precious metal have struggled this year to duplicate the double-digit growth of 2005 and 2006 even though market fundamentals were tight. Larger-than-usual government sales have flooded the market with excess supply.


Read more at Reuters Africa

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