CIBC World Markets is turning more bullish on gold and silver and suggests it's nearly time for investors to pounce on the sector to capture a seasonal bounce.
CIBC analysts, including Barry Cooper and Alec Kodatsky, believe that the further quantitative easing measures from the U.S. Federal Reserve is setting the stage for a continuation in the gold rally that subsided in mid-September.
CIBC analysts, including Barry Cooper and Alec Kodatsky, believe that the further quantitative easing measures from the U.S. Federal Reserve is setting the stage for a continuation in the gold rally that subsided in mid-September.
"QE1 and QE2 were the drivers for gold price increases in the order of $20 to $30 (U.S.) per month," the analysts wrote in a research note. "We expect that QE3 will offer something between these figures, although on a percentage basis the moves will not be as significant due to the higher gold price." ...
For 2013, CIBC kept its forecasts unchanged, expecting gold will average $2,000 an ounce and silver $35 an ounce. But it now sees gold rising to an average of $2,200 for 2014 and silver to $38.
"The figures represent our view that prices are underpinned by the rising cost of supply, plus strong demand coming from both investor interest and central bank buying," they said.
For 2013, CIBC kept its forecasts unchanged, expecting gold will average $2,000 an ounce and silver $35 an ounce. But it now sees gold rising to an average of $2,200 for 2014 and silver to $38.
"The figures represent our view that prices are underpinned by the rising cost of supply, plus strong demand coming from both investor interest and central bank buying," they said.
More information can be found online at http://www.goldbullionadvisors.com
No comments:
Post a Comment