Goldman Sachs Group (NYSE:GS) leading the Bullish pack on Gold.
The New-York based bank’s analysts led by Jeffrey Currie raised their price forecast for Gold, predicting that over the next 12 months, the precious Yellow metal will climb to $1,425 oz, a mark not seen in more than 5 years.
Bullion has benefited as rising geopolitical tensions fuel central bank purchases, while fears of a recession helped boost demand from investors seeking “defensive assets,” Goldie said.
Even ETF’s exchange-traded funds are piling into bullion, taking their holdings to the highest since last May.
On the COMEX in New York, prices have risen 10% from a low in August.
Speculative interest in the Gold signals investors are not only closing Bearish bets but are also adding to their Bullish position.
“We expect the safe haven bid, and to a lesser extent, gold’s inflation hedge properties, to remain Key drivers of the metal’s price in 2019, complemented by a resurgence of physical demand,’’ Cantor Fitz analysts led by Mike Kozak said in his report.
Gold and Silver are ‘‘looking good in 2019,’’ underlining a potentially positive indicators that ‘‘should drive a bullish case” for both metals “and as a result, the related equities as well.’’