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| Times News Service Saturday, February 25, 2012 10:00:54 AM Oman Time | | |
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Singapore: Gold may climb to a record $2,500 an ounce this year on demand from central banks and investors, according to Schroder Investment Management, which said a longer-term bull run may push the price to twice that figure.
The metal may trade between $1,500 and $2,500 this year, ending 2012 at about $2,250, Christopher Wyke, London-based product manager for emerging-market debt, commodity and currency funds, said at a briefing in Singapore.
The bull run may last a further five to eight years, with the price coming near to $5,000, Wyke said yesterday, echoing a call that he made in 2008.
Spot gold, which peaked at $1,921.15 on September 6, gained for an 11th year in 2011, buoyed by central-bank purchases and increased haven demand driven by Europe’s sovereign-debt crisis.
Holdings in exchange-traded products backed by bullion are near an all-time high, according to data tracked by Bloomberg.
“Over the next five to eight years, it’s going to go considerably higher,” said Wyke. “We wouldn’t be surprised to see the price close to $5,000.” Schroder Investment manages about $10 billion in three commodities-related funds.
Source @OmanTimes
