Gold likely to hit $1,600 before end of the year

ON SPECIALIST

Sector IM's Angelos Damaskos explains why he thinks the gold price will continue to rise.

Many observers have been calling the gold price a bubble for several years now but the price has continued to rise. Gold recently reached a high of above $1,500 per ounce for the first time in history and it is not unlikely that we may see an ounce of gold selling for over $1,600 before the year end. Putting inflation-adjusted pricing and long-term history aside, it is worthwhile looking at the current situation and the drivers of gold prices today. The world economy is still suffering from the excesses of the last decade and the large debts accumulated at both a government and privat...