Decision has been made $1750 in 2012

Discussion in 'Gold' started by JulieW, Dec 7, 2010.

  1. JulieW

    JulieW Well-Known Member Silver Stacker

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    They've let us in on what it will reach. Aren't they kind?

    http://www.emirates247.com/markets/gold/gold-hits-1-427-oz-may-rise-to-1-750-2010-12-07-1.326058

    Gold hits $1,427/oz... may rise to $1,750

    Goldman Sachs predicts gold likely to peak at $1,750/oz in 2012

    Christmas came early for gold speculators as the global price of gold made a new lifetime high of $1,426.4 per ounce today, beating its previous high of $1,424.10/oz made in November by more than $2/oz.

    The spike, after almost a month of a retraction in the gold price and then a gradual climb, came after the US Federal Reserve (Fed) announced it would print more money and the American government extended the soon-to-expire Bush-era tax sops for another two years.

    The price of 24-carat gold in Dubai hovered at Dh170.50 per gram this morning, up from Dh169.75 last evening, while 22-carat gold rose from Dh159.25 per gram yesterday to Dh160 today.

    The yellow metal attracts strong interest as an investment haven, with speculators and savvy traders making brisk purchases on the back of surging global valuations.

    Another significant factor for the price rise in gold has been the emergence of China as one of the largest consumers of gold. Gold imports into the world's new powerhouse China soared fivefold this year, turning the country, already the largest bullion miner, into a major overseas buyer for the first time in recent memory.

    The surge, which comes as Chinese investors look for insurance against rising inflation and currency appreciation, puts Beijing on track to overtake India as the world's largest consumer of gold and a significant force in global gold prices.

    Silver also jumped to a new milestone of $30.23/oz, a fresh 30-year high for the metal, driven by strong global movements and highly speculative positioning by stockists.

    Precious metals have rallied to record levels due to dollar weakness triggered by quantitative easing measures announced by the Fed to boost the American economy.

    Gold prices have rallied more than 34 per cent since early February this year, when they made a year-to-date low of $1,062.40/oz.

    Global institutional analysts including Goldman Sachs have revised upward their targets for gold price, with the advisor telling its clients yesterday that it believes low US interest rates will continue to underpin the rally in commodities like gold.

    The firm expects gold futures to climb to $1,690/oz by the end of 2011 and continue to move higher. However, the firm believes prices will likely peak at $1,750/oz in 2012, as the US recovery will see interest rates move higher.

    In inflation-adjusted terms, gold is still far from its January 1980 record of $875/oz. Gold would have to trade around $2,300/oz to make up for three decades of inflation.

    Experts maintain that gold and silver remain in a bull market, and with the current economic climate favouring safe haven investments, they would continue to rise as demand picks up further.

    In spite of the fact that the talk of a gold price bubble have escalated ever since the metal crossed $1,300/oz, the current level of bullish sentiment suggests that there is still some steam left before gold prices stop their ascend.
     
  2. Shaddam IV

    Shaddam IV Well-Known Member Silver Stacker

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    Anything Goldman Sachs announces is a lie, and part of a manipulation. Take it with a grain.
     
  3. Clawhammer

    Clawhammer Well-Known Member Silver Stacker

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    I suspect these the same analysts that couldn't see an economic crash coming? To paraphrase Jon Stewart on comparing these guys to clueless weathermen during a tornado;

    "What's happening..I'm cold and wet... and I don't know what's going on?"
     
  4. Silverthorn

    Silverthorn Well-Known Member

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    Be a long while before this thing sorts itself out. 2012 would be optimistic to my mind.
     
  5. Clawhammer

    Clawhammer Well-Known Member Silver Stacker

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    Well, during the depression gold was more than 1:1 with the Dow....and the Communist Block population wasn't even competing for market share then :cool:

    What's the dow today?...~11000

    Even if the dow retracts that's just an opourtunity for me to buy all those blue chip stocks I've been holding out for;
    Consolidated Zepplin, Saipan Moccasins, National Pennyfarthing....Pepsi
     
  6. chimpanchu

    chimpanchu New Member

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    I wouldn't take Goldman's words for anything.

    Gold peak at a puny $1700!? In 2 years? I find it hard to believe!
     
  7. au_ag_miner

    au_ag_miner Member

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    GS underestimated gold prices. It has to clear $2,000 by 2012. Either way, gold will go up in 2011. If the economy recovers, commodity prices (rice, corn etc) will go up. If it doesn't, gold will be yet again safe haven.
     
  8. JulieW

    JulieW Well-Known Member Silver Stacker

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    "Decision has been made $1750 in 2012"
    I thought ironic title might have been a clue.
    Agree with all comments.
     
  9. Smoothcriminal

    Smoothcriminal New Member Silver Stacker

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    Smells like their trying to build a price ceiling in peoples minds early - tell the sheeple something loud enough and long enough sort of thing.......wonder why they'd try and build a propaganda price ceiling? :rolleyes:
     
  10. JulieW

    JulieW Well-Known Member Silver Stacker

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    Build a mindset so that people don't move into gold as an 'investment'.

    Almost everyone has no thought of gold as a haven and by proclaiming a price ceiling (which after premiums looks like about 'a hundred bucks an ounce' profit, and of course "it could go down to $200 like it did before. Best stay with Wall Street."

    Even in the 80's the silver speculation happened without most knowing about it. Now people know about those days, and the immense profits one could make, and a move by a section of the population would be possible - so establish a psychological ceiling, put in a few hurdles to investing (gst, 100 points, CGT - or US style reporting transactions over $600) and you leave the game to GS and their cronies to peel the percentages from IMF trades and sovereign deals, and sweep us ants off the cake.

    Isn't the price of gold still fixed by a morning phone call between 'friends'?
     
  11. boston

    boston Active Member Silver Stacker

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    There is a lot of merit in this mindset scenario.
     
  12. Willow

    Willow New Member

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    It may well just be the case that GS has some calls on gold to $1750 by end 2012 and are trying to ensure their profit target is hit.
     
  13. LovingtheSilver

    LovingtheSilver Active Member Silver Stacker

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    I agree totally
     
  14. JulieW

    JulieW Well-Known Member Silver Stacker

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    LOL
    Homeless Guy #1- "I'm here because I lost all my money in stocks, currencies and offshore investments"
    Homeless Guy #2- "Yeah?.. I lost mine the old fashioned way. Drugs, gambling and hookers. Ahhh"

    I heard it - I spent mine on drugs, gambling and women. The rest I wasted.
     
  15. hawkeye

    hawkeye New Member Silver Stacker

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    I can't see the Fed yanking interest rates sky-high anytime soon.
     
  16. domdolittle

    domdolittle Member Silver Stacker

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    What a joke... the World according to Goldman Sux !

    They were 'predicting' gold to be $1200 by 2015 ???
     
  17. Randomz

    Randomz New Member

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    If you just take the 12 month prediction of $1690 by the end of 2011, that's equivalent 17% compound interest over that period.

    I can accept that!
     
  18. dccpa

    dccpa Active Member

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    Unfortunately for GS, the Chinese, other Asians, Indians, Middle Easterners and most of the world don't agree with or believe GS.
     
  19. Dynoman

    Dynoman Active Member

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    Tooshay !!
     

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