"The price of domestic gold tends to depend on the global price. However, the price of gold in the local market may continue to increase, even if its global market price decreases later, because of high domestic demand," he said here on Monday.
According to gold managing and refining business unit PT Aneka Tambak Tbk (Antam), the current gold price is Rp557,200, up 0.17 percent from last weekend's Rp576,200.
The prices of five grams and 10 grams of gold in the bullion market are Rp2,736 million and Rp5,432 million, respectively. The buyback price of gold, if the consumer sells the gold back to Antam, is Rp508,000 per gram.
Today, the global price of gold has increased 3.90 points to reach US$1,715.80 per ounce, up 0.23 percent from the previous day's close.
"Gold is considered to be a stable and low-risk form of investment because it maintains its value even during recessionary times, which is why an increasing number of people invest in it," Priyambada explained.
"The global financial market tends to be increasingly volatile, therefore, investors are getting more and more interested in gold as an asset," he said.
Head of Monex Investindo Research Ariston Tjendra pointed out that gold had recently dropped below the level of US$1,700 per ounce. Therefore, he added, some investors took advantage of that situation to enter the gold market.
"This is one of the factors that boosted gold prices in the global and local markets," Ariston stated.
"However, global gold prices have bounced back on increased buying from Brazil Central Bank and Turkey as well as because of positive signals from India," he noted.
"Brazil has augmented its gold reserves since December 2008, followed by Turkey," Ariston added. (*)
Editor: Heru Purwanto
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