The price of Gold continues to skyrocket as predicted by Barclay Pearce Capital in our previous Gold update. As supported by the Australian Financial Review, this is a result of economic unrest at the hands of COVID-19. Goldman Sachs also predicts that this price will surpass US$2,300/oz in the next 12 months.

The Price of Gold:

Last Tuesday, Gold prices jumped for the first time since 2011, rallying over $1,800 USD and at the time of writing is $1,809.7 USD. The thought of a freeze in the economic recovery plagues the minds of investors and pushes them towards a safe haven - where gold is in bullish territory.

Because economic turbulence seems likely, all signs point north for gold. In the short term, there will be sellers as investors look to obtain value to cover their margins, but there are plenty of hunters looking value.

Our Prediction:

We, as a firm, have been following the gold trend like most people over the past few months. It's actually ticked over $1800USD for the first time since 2011. We think that because of elements such as economic uncertainty and rising inflation rates, this trend is going to continue well north past $2000USD. 

"The AFR has recently backed this up saying this is due to COVID and economic uncertainty caused by it."

- Gold rules in a world broken by COVID-19, FINANCIAL REVIEW

 

"Goldman Sachs have also jumped on board with their prediction of US$2,300/oz within the next 12 months."

- Goldman Sachs says gold will surge another 20% and hit $2,300 in the next year,

driven by rock-bottom interest rates, BUSINESS INSIDER

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