Gold Price Forecast, Trends and Predictions
Gold has a strong year in 2016 and we expect an even stronger price advance in 2017. The following targets are our short-term, medium-term and long-term gold price forecasts. Please note that short-term gold price forecasts are very unreliable in a market that is so heavily leveraged and manipulated. But this helps to give our readers some idea of what we expect the gold price to do in the coming months and years.
2017 Gold Price Forecast: $1,500
2018 Gold Price Forecast: $2,200
2019 Gold Price Forecast: $3,000
2020 Gold Price Forecast: $4,200
2022 Gold Price Forecast: $5,000+
The technical chart for gold can help us forecast where the price may go in 2017 and beyond. The last two advances propelled the gold price up 4X and 2.3X, respectively. If the current advance comes in somewhere between these new multiples, such as 3X, we can expect the gold price to continue above $3,000 per ounce during the current cycle.
2017 Gold Price Predictions / Targets
Gold to $1,200 in mid-2017 – Bank of America Merrill Lynch.
David Wilson, head of metals research at Citigroup, says that gold should top $1,300 towards the end of the year as the “Trump reflation trade” reverses and subdued real interest rates, coupled with moderating dollar strength, provide “positive momentum” for the gold price.
UBS sees an average price of $1,400 per ounce across 2017.
Credit Suisse: Gold forecast to peak at $1,500/oz in Q1/17: We raise our gold price forecast by 8% in H2/16 to $1,413/oz and 10% in 2017 to $1,450/oz. Our silver price forecast increases by 12%, to $18.75/oz, in H2/16 and by 15%, to $19.03/oz, in 2017, following gold.
Dutch bank ABN Amro, another erstwhile ultra-bearish house, revised its forecast to $1,425, adding that a Trump presidency could really see things explode.
RBC Capital: The bank now sees gold rising to $1,500 in 2017 and 2018 compared to its previous forecast of $1,300. They see gold averaging $1,245/Oz in 2017.
On the bearish side of things, Harry Dent is predicting $700 Gold by Late 2017. Of course, Harry made this same prediction last year, and the year before and… well you get the point. I think it is shock marketing, click bait to get attention and help sell books. After all, $700 would be well below the average cost of production. More on Harry Dent’s continually inaccurate gold price predictions can be found here.
On the wildly bullish side of things, Jim Rickards believes gold could hit $10,000 by the end of 2018 when there is nobody left to bail out the banks.
Jim Sinclair thinks gold could reach $50,000 if China decides to back their currency with gold and has been understating true reserves.
2017 Silver Price Predictions / Targets
Citi Research $15.50
ABN Amro $15.40
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Of course, the banks don’t have the best track record at predicting the gold price. I think they are undershooting by a significant amount. And why not? Their very livelihood relies upon continued acceptance of the fiat monetary system. If they could create money out of thin air and then lend it out at high interest rates, they wouldn’t make the ungodly amounts of money that they make and pay their executives.
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