Surging demand for gold is occurring throughout the globe as debt turmoil is driving the commodity's price higher, Bloomberg reports.
Acquisitions of the precious metal are driving higher in Greece, which is preparing to receive a second tranche of emergency bailout aid. Krugerrands are selling the most in about 12 months from a South African refinery near Johannesburg. A foreign exchange store that sells gold products in Lisbon, Portugal, which is one of the core euro zone nations suffering from sovereign debt, is seeing those gold products fly off shelves more quickly than any time in the past year.
"People are nervous about the banking system and the euro and believe that investing in gold will help them protect their savings," Rui Lola, owner of that Lisbon store, told Bloomberg.
A Bloomberg survey indicates the price of gold will drive past $1,700 per troy ounce by the end of the year. Thus far this year, gold futures have boosted roughly 14 percent as the record price now stands at $1,632.80 per troy ounce.
The Sydney Morning Herald reports gold is capable of notching $2,000 per troy ounce by the end of this year. Or the precious metal might surpass that amount next year as driven by the debt crises, according to the publication.
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