Friday 29 Mar 2024
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KUALA LUMPUR (March 23): Shares of gold counters Poh Kong Holdings Bhd and Tomei Consolidated Bhd rose on Thursday (March 23) as gold prices saw an upward trend recently.

Poh Kong’s share price surged as much as 6.7% to hits its intraday high of 96 sen, while Tomei's stock rose 5.9% to reach its intraday high of RM1.25.

At 4.24pm, Poh Kong shares were trading at 92 sen, with 5.55 million shares done. At the current price, Poh Kong has a market capitalisation of RM375.47 million. The stock had risen 8.2% year-to-date (YTD).

Tomei’s share price was trading at RM1.21, with 1.59 million shares done. Its market capitalisation stood at RM167.71 million. The stock is up 14.2% YTD.

Goldman Sachs on Thursday raised its gold price forecasts, describing it as the best hedge against financial risks, and reiterated its bullish view on commodities as a banking crisis has yet to spill over into physical markets, according to a Reuters report.

It hiked its 12-month gold price target to US$2,050 an ounce from US$1,950, joining others such as Citi, ANZ and Commerzbank in raising forecasts.

"We believe the market will be well supported not only by ETF (exchange traded fund) inflows once Fed fund rates have peaked but by a stronger 'Wealth' effect from the East as the USD depreciates into year-end on yield compression and EM GDP grows strongly on China reopening effects," the bank said in a note.

Gold broke above US$2,000 on Monday on safe-haven demand triggered by the banking crisis before easing following the rescue of Credit Suisse, said Reuters.

At the time of writing, gold was traded at US$1,977.12 per ounce.

Edited ByKang Siew Li
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