Standard Bank is bullish on gold and predicts the metal will hit $1,600 an ounce by the end of the year.
Banks says while speculative positions are not overly bullish, the investment demand, especially from Asia will lead the gold market higher.
“This segment of the gold market has been buying gold in dips for the past few weeks, and this trend seems entrenched. In fact, we have seen exceptionally strong physical gold demand so far this year (compared to the same periods in 2009 and 2010). We believe that this will provide support for gold on dips. We therefore still favor a long position in gold, and believe that it will reach $1,600 in Q4:11.”
Via Kitco
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
