There are five main fundamentals that will help to push up gold prices to even higher levels than those being seen at the moment by the end of the year, it has been claimed.
Those with gold investments look set to benefit from the key factors of supply and demand, weakness in the dollar, the balance between gold and oil prices, institutional buying and uncertainty over the economy, Donald Doyle Jr of Blanchard and Company told Mineweb.
While there may be some consolidation in prices before the end of 2008, investors should view such dips as opportunities to buy gold ahead of further increases, he added.
A number of experts have recently speculated that gold prices will hit four figures an ounce in the near future, meaning that those investing in gold at the moment could benefit by buying and selling at the right times.
According to GFMS, gold prices of $1,000 an ounce are "a clear possibility" for this year as a result of most of the fundamentals cited above.
"We believe widespread increased investment demand will offset any decline in luxury goods manufactured with gold as investors seek to secure assets that will retain their value," Mr Doyle commented.
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