“The Case for Higher Gold Prices Remains in Place,” Says Goldman
Gold continues to be “the currency of last resort,” according to Jeffrey Curie – Global Head of Commodities Research at Goldman Sachs – due in large part to “the rising risk of sovereign default and debasement concerns.”
In his latest note to clients, Curie reiterated his bullish stance on the yellow metal and his six-month target of $1,840 per ounce.
“The case for higher gold prices remains in place,” the Goldman strategist wrote. “U.S. economic and employment data has now disappointed for several weeks, European election results point to further stress in the euro area, while anecdotal data suggests that physical gold demand remains resilient.”
Curie went on to say that “We believe that mid-June will likely be a key period for gold prices, given the June 19-20 FOMC meeting, the likely discussion of a ‘Growth Compact’ at the EU summit on June 28-29, and, if no coalition is formed in Greece, a new general election likely on June 17.”
Source: Gold Alert