Gold Prices 'could reach $1,200' on seasonal demand
A Geneva-based bullion refiner has claimed that Gold Prices could reach $1,200 per ounce by the end of the year, Bloomberg reports.
The yellow metal reached another all-time high today (November 23rd), touching $1,166 per ounce in morning 'fixing' as its eight-year bull run continues apace.
Bernard Sin, head of currency and metals trading at MKS Finance SA, explained that the negative sentiment towards the dollar is underpinning gold's continued strength.
He told the news provider: "All this buying shows no confidence in the dollar. We're going to see some physical demand in the festive season which may push prices to $1,200 an ounce."
Meanwhile, Evy Hambro, who helps to manage BlackRock Investment Management's flagship $11.6 billion World Mining Fund, has also endorsed the value of Investing in Gold.
He explained in an interview with Bloomberg that supplies will continue to be strained for the foreseeable future, leading to higher demand and therefore higher prices.
"The gold trend to me is an incredibly powerful trend. Supply is still falling for the industry, which is not a sign of an industry enjoying massive prices," he told the news provider.
"There are very few gold companies that are able to replace their reserves every year by exploration. If there were, we'd be increasing our exposure, but there are not."
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