Gold prices once again hit new all-time highs Wednesday after breaking the $2,000-per-ounce level for the first time ever this week. Fortunately for precious metal investors, BofA Securities said global economic conditions suggest even more upside ahead.
Gold traded at $2,057/ounce on Wednesday, with silver prices at $27.03/ounce and copper prices at $2.92/pound.
The Fed is expected to commit to near-zero interest rates until inflation hits its 2% target.” data-reactid=”21″>Traders have been flocking to gold in 2020 as a safety investment during a period of economic uncertainty. Gold is also an inflation hedge after the Federal Reserve issued trillions of dollars of stimulus earlier this year. The Fed is expected to commit to near-zero interest rates until inflation hits its 2% target.
Michael Jalonen said he’s bullish on gold, and BofA raised its average 2021 real gold price forecast from $2,012 to $2,159.” data-reactid=”22″>More Upside Ahead: BofA Securities analyst Michael Jalonen said he’s bullish on gold, and BofA raised its average 2021 real gold price forecast from $2,012 to $2,159.
The firm also raised its 2021 real silver average price forecast from $21.95 to $30.49 and its 2021 real copper average price forecast from $2.77 to $3.10.
“Continued fiscal spending as governments are mending the damage from COVID-19, backstopped by central banks means that interest rates will remain low, at the same time as the economy reflates,” Jalonen said in a note.
Investors can expect gold prices to peak at $3,000 within the next 18 months, the analyst said. At the same time, he said copper prices could rally as high as $50/ounce in the medium-term.
KGC) from Neutral to Buy and raised the price target from $8.90 to $11.25.
HL) from Underperform to Neutral and raised the price target from $2.40 to $6.25.
GLD), the iShares Silver Trust (NYSE: SLV) and the US COMMODITY IX/COM UT REPSTG U S C (NYSE: CPER).
The GLD fund has been the best performer of 2020, with a 50.9% gain, while the CPER fund has lagged, gaining 4.6%.
Here’s How Much Investing ,000 In The GLD Gold Fund In 2010 Would Be Worth Today ” data-reactid=”35″>Here’s How Much Investing ,000 In The GLD Gold Fund In 2010 Would Be Worth Today
Latest Ratings for GLD
| Date | Firm | Action | From | To |
|---|---|---|---|---|
| Apr 2013 | Oracle Investment Research | Initiates Coverage on | Strong Buy | |
| Apr 2013 | Oracle Investment Research | Initiates Coverage on | Strong Buy |
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