, IncCiting sustained demand and the continued use of gold as a safe haven asset by many people, Barrick Gold Chairman Peter Munk reiterated his prediction that gold prices will continue to rise. His recent comments echo the belief of others in the market about the potential for continued success in gold.
The leader of the Canadian based gold miner has a first-hand perspective about the gold industry and his comments provide insight into to the expectations of many in the business. He confidently stated that gold prices “may fluctuate, but to us and I think to our investors, the key criteria should be that it’s got a secular tendency now to move up year in and year out.”
Others in the industry show similar confidence as they forecast that gold prices would, over the long term, rise to between $1,250 and $1,500. Some predict that the market could see a bottom near $1,000, but then rebound to as high as $1,300 per ounce this year alone.
What does that mean to the average investor? Now is an excellent time to buy! With the spot price dropping to around $1,080 per ounce, many believe the correction is nearly complete and the rise could begin soon. Buying at the bottom of a correction is any investor’s dream; if gold has truly found its bottom, buying bullion and rare gold coins right now could have excellent benefits in the future.
Analysts contend that gold prices nearing $1,000 are not sustainable due to underlying demand for the metal, particularly given its attractiveness as a hedge against inflation, as a safe-haven asset, and as an alternative to struggling currencies. Investors who are liquid should consider purchasing now in anticipation of another strong run in gold prices.
Stewart Lawson
Senior Staff Writer - GoldPrice.net
