After a bull-run lasting more than 12 years, gold has shown
some signs of weakness in the last few months.
The minutes of the latest FOMC meeting suggest that several
members want the quantitative easing to end in 2013.
Continued easing by the Fed and other major central banks was one
of the reasons for the bullish run in gold in recent years.
On the other hand, central banks have continued their gold
purchases. The demand in China may also pick up this year as the
economy recovers. The demand in India is holding up well so far,
even though the metal price is near all-time high in Indian Rupee
In fact the Indian government is considering some tax measures
to make the gold imports more expensive as massive gold imports
by the country are worsening the country's current account
I remain positive on the long-term prospects for gold for
. What do you think?
SPDR-GOLD TRUST (GLD): ETF Research Reports
ISHARS-GOLD TR (IAU): ETF Research Reports
To read this article on Zacks.com click here.