There is not one single factor that keeps pushing gold upward. It isn’t global unrest in Libya, Egypt, Yemen or the disasters in Japan or the declining US Dollar or emerging markets acquisition of gold. While no single one of these sustain the current bull run in gold & silver all together make a very convincing indications for a long-term investment in precious metals.
Yesterday, Bill O’Neill, LOGIC Advisors managing partner told CNBC he thought there was room to run, the use of the term safe haven at these prices is a little scary, I think the gold market is going to go higher. O’Neill went on further to add, There is a flight to gold as the ultimate currency. He doesn’t attribute this to a bubble but to the normal market cycle.
Gold & Silver both have pressures that are driving them forward in price. Should this continue to cycle as it has during the last decade. We will see the markets moving higher in the following couple months with a summer plateau, then another run higher in the fall through the end of the year. Everyone, including Goldman Sachs is calling for $1,800 to $2,000 an ounce gold & near $50 an ounce for silver.
Now is the time to get into the market and cover some of the decline in the dollar that is predicted over the remainder for the year. Also to continue acquisitions for your tangible asset portfolio, today’s levels will be looked back on with regret much like $800 gold is today. See the entire interview: CNBC – Metals: Room to Run?