Latest Gold Price Prediction from the Banks

With gold prices having broken out recently, many banks and analysts have released updated price projections. And in every case I’ve seen, those predictions are higher. Gold Price Prediction Street 2000 and higher for 2020.

Yes, banks and brokerage houses are not the best source for analysis of the precious metals market they’re heavily biased toward stocks. Their track record with gold has been notoriously wrong. But it’s worth looking at what they’re saying, because their clients listen to them.

Gold Price Prediction

Institutions control billions of dollars, and as a result hold sway in the markets. Wall Street piles into trends, so if they see higher gold prices coming then widespread bullish predictions could serve as its own catalyst.

I put the banks that have recently released an updated gold price prediction into a chart. In most cases, it is an analyst at the bank making the prediction, not the bank itself. But since these are mostly analysts for the resource industry, their predictions are frequently used to make investment decisions for the institutional side of the firm, as well as to make recommendations to advisors who manage money for thousands of clients.

Gold Price Prediction

In some cases they don’t give a specific date or price, but here’s what these banks and analysts have publicly stated over the past couple weeks.
Every bank I found shows gold ending the year higher than where it’s at now. 
And all but one thinks the gold price will be above $1,600 next year, with all the others projecting anywhere from $1,680 to $2,400.

You’ll also notice that Morgan Stanley’s “#1 commodity pick” is gold, something we haven’t seen from a bank in a long time. 

Taken as a whole, this does show that institutional investors have become decidedly more bullish. Wall Street clearly sees higher gold prices coming.

Of course, this doesn’t mean any of them will be correct. And some banks and brokerages are not bullish. Like BMO Capital Markets chief investment strategist Brian Belski: “Caution is warranted when chasing extreme moves in the gold price, and the unpredictable nature of the U.S./China trade war makes timing very difficult in the current environment. While we agree a prolonged trade war can have real negative fundamental implications, we continue to believe the gold market is being driven more by swings in rhetoric and fear than actual fundamentals.”

Gold Price Prediction

Institutions control billions of dollars, and as a result hold sway in the markets. Wall Street piles into trends, so if they see higher gold prices coming then widespread bullish predictions could serve as its own catalyst.

I put the banks that have recently released an updated gold price prediction into a chart. In most cases, it is an analyst at the bank making the prediction, not the bank itself. But since these are mostly analysts for the resource industry, their predictions are frequently used to make investment decisions for the institutional side of the firm, as well as to make recommendations to advisors who manage money for thousands of clients.

In some cases they don’t give a specific date or price. Here’s what these banks and analysts have publicly stated over the past couple weeks. Every bank I found shows gold ending the year higher than where it’s at now. And all but one thinks the gold price will be above $1,600 next year, with all the others projecting anywhere from $1,680 to $2,400.

Gold Price Prediction

Morgan Stanley one of the biggest banks is the world is very bullish on the gold price going forward. Taken as a whole, this does show that institutional investors have become decidedly more bullish. Wall Street clearly sees higher gold prices coming.

Of course, this doesn’t mean any of them will be correct. And some banks and brokerages are not bullish. Like BMO Capital Markets chief investment strategist Brian Belski: “Caution is warranted when chasing extreme moves in the gold price, and the unpredictable nature of the U.S./China trade war makes timing very difficult in the current environment. While we agree a prolonged trade war can have real negative fundamental implications, we continue to believe the gold market is being driven more by swings in rhetoric and fear than actual fundamentals.”

Why Silver over Gold

The above rhetoric from the banks is the reason I would choose buying silver over gold. First of all gold is getting quite pricey. Second reason is the price of silver is at an all time low and at this point in time very low risk. Why take chances. If you have ever invested money in gold and all of a sudden it takes a big swing down it is not much fun.

On the other hand silver has a very limited downside. If anything the demand and fundamentals are all turning positive. We could be on the cusp of a multi year rise in the silver price. With interest rates heading down many investors are going to be turning to silver. Silver is very affordable for the average person. A Silver coin is around the 20 dollar range and a great way to save money for your retirement.

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Limited editions from the mint make these coins grow in value over time. Silver Eagles for example seem to gain value over time and are very desirable to own. Other rare coins such as the Panda and the Maple Leaf among others also grow in value. You can build wealth by collection these coins on auto pilot every month. Find out more about this amazing new home business plan today.

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