Gold Runs Out In Lisbon As Price Drop Compounds Money Misery [Bloomberg]
August 17, 2012 Leave a comment
Paulo Oliveira and his wife sold their wedding rings to pay the rent after he lost his job as a builder last month. They were the couple’s last pieces of jewelry.
We have no more gold to save us from being kicked out this month,” the 46-year-old said as he stood in the area of downtown Lisbon popular with cash-for-gold stores. “Everyone I know is struggling, even the gold stores are empty because nobody has any more gold left to sell.”
Oliveira encapsulates a growing trend in debt crisis- strickenEurope as household gold supplies dry up after record prices and a deepening recession prompted a proliferation of places to exchange the metal for money.
In Portugal, the historical home of some of Europe’s biggestgold reserves, the number of jewelry stores, which include cash-for-gold shops, increased 29 percent in 2011 from a year earlier, a study commissioned by parliament found. In the first quarter, an average of two new stores opened every day, the report said. Now some of them are closing.