Gold Essay

9286 Words Jan 7th, 2014 38 Pages
old Price Forecast 2013
Predictions and Estimates from Multiple Analysts
The Gold price forecast for the year 2013 has been covered by multiple analysts. Here is their consensus: While the price of Gold has a gamut of forecast ranges for 2013, most experts remain bullish on the yellow metal for the year, though some have scaled back their estimates slightly over the past few months. A compilation of their predictions are listed below.

Bank of America Merrill Lynch
In a December 2012 report, Bank of America Merrill Lynch stated that Gold would average $2,000 in 2013, with the metal climbing to $2,400 in 2014. “Large-scale policy easing by the U.S. Federal Reserve and European Central Bank positions Gold as a useful hedge against
…show more content…
The Fed will also continue its policy of quantitative easing, which effectively means printing money to force down the yield curve to stimulate growth through investment in the economy.” “The Gold price should also benefit from similar open ended commitments by the European Central Bank, while the pending election in Japan could result in a significant policy shift at the Bank of Japan as it seeks to more aggressively stimulate the domestic economy.”

Goldman Sachs
In December 2012, Goldman Sachs cut its three, six, and 12month forecasts for Gold prices to $1,825, $1,805, and $1,800 an ounce respectively. “We retain a positive view on the Gold market, but given Gold’s outperformance during risk on intervals and our forex strategists’ expectation for the dollar to strengthen beyond three months, we are revising down our forecast for 2013 modestly, to $1,815/oz,” the bank said.

Barclays Capital
Barclays trimmed its 2013 price forecast for Gold by 2.5% in December 2012, but said that it still expects the metal to average $1,815 an ounce for the year. “We retain a positive view on the Gold market, but given Gold’s outperformance during risk on intervals and our forex strategists’ expectation for the dollar to strengthen beyond three months, we are revising down our

Related Documents