Safe-haven demand for gold to outweigh effects of US dollar rise, say analysts

Singapore

THE price of gold continued its decline over the past week on Monday, but with continued uncertainty surrounding major economies in the world, analysts believe the yellow metal will be supported till the end of the year.

Spot gold dropped to as low as US$1,315.51 an ounce on Monday during Asian trading hours, and traded at US$1,318.22 an ounce at 7pm Singapore time.

The metal has been one of the best performing assets this year, and has risen 24 per cent so far this year.

However, comments by Federal Reserve chair Janet Yellen on Friday - that the case for raising US interest rates has strengthened - dampened prospects…