Gold Bullion headed to record highs by next decade, CPM Group forecasts - Wealth Managers

"Prices to have limited downside from the lows reached in June 2013"

The CPM Group is out with its Gold Long-Term Outlookreport for 2013, and it's predicting record prices over a 10-year period.

However, it does see near-term price weakness. If that pans out, investors with a long-term horizon can reap the rewards if they're patient.

"Investors are still interested in owning gold for many of the same reasons they were buying it for since 2002," it said in announcing the new report. "The main difference now is they are in less of a rush to hoard up on the metal. They have grown increasingly price sensitive, which results in them holding off on making fresh purchases when prices rise. This is unlike the period between 2009 and 2011, when investors were buying large volumes of gold even as prices were rising. ...

"Investors' present price sensitivity is expected to weigh on gold prices for the next few years. At the same time, since they remain interested in owning gold, they are likely to continue buying whenever prices decline. CPM Group expects gold prices to have limited downside from the lows reached in June 2013 as a result. ...

"The sharp decline in gold prices in 2013 and the inability of gold to make a strong comeback has resulted in many market participants moving to the sidelines and waiting to see how low gold prices will fall before they resume buying. Once they are convinced that the bottom in the market is reached, there should be stronger buying interest, which should help push gold prices higher."

More information can be found online at http://www.goldbullionadvisors.com