Gold price ‘could bounce back’

<p>The price of gold could bounce back as quickly as it has fallen.</p>

The price of gold could be set to rebound after it was revealed that the value of the commodity has fallen by around 24 per cent since 2011.

Eagle Research Advisory managing director Keith Goode explained there is talk within the industry that the cost of the precious metal could be fixed.

"There are comments about why banks want the gold price to go down without waving a conspiracy," he told AAP.

Mr Goode added that it may be the case banks act as a consortium to get the gold price down so China can buy at lower levels.

CMC Markets chief market strategist Michael McCarthy stated the price of gold could be set to drop even further in the coming weeks and months.

Gold is traditionally one of the safest bets for investors, especially during times of financial crisis, but this has not proven to be the case so far during 2013.

Its value recently dropped to $1,557 (£1,012) after it was revealed Cyprus is considering selling off its gold reserves in a bid to ease its financial problems.

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