- Write by:
-
Tuesday, April 21, 2020 - 8:20:05 PM
-
1422 Visit
-
Print
Mining News Pro - Bank of America Corp. raised its 18-month gold-price target to $3,000 an ounce — more than 50% above the existing price record — in a report titled “The Fed can’t print gold.”
According to Mining News Pro - The bank increased its target from $2,000 previously, as policy makers across the globe unleash vast amounts of fiscal and monetary stimulus to help shore up economies hurt by the coronavirus.
“As economic output contracts sharply, fiscal outlays surge, and central bank balance sheets double, fiat currencies could come under pressure,” analysts including Michael Widmer and Francisco Blanch said in the report. “Investors will aim for gold.”
BofA expects bullion to average $1,695 an ounce this year and $2,063 in 2021. The record of $1,921.17 was set in September 2011. Spot prices traded around $1,678 on Tuesday and are up 11% this year.
To be sure, a strong dollar, reduced financial market volatility, and lower jewelry demand in India and China could remain headwinds for gold, BofA said.
“But beyond traditional gold supply and demand fundamentals, financial repression is back on an extraordinary scale,” the report said.
Short Link:
https://www.miningnews.ir/En/News/518899
Private credit managers are doing significantly more fossil-fuel deals now than just a few years ago, as they step into ...
Canada’s corporate ethics watchdog on Tuesday said it was likely that human rights abuses had occurred at a mine in ...
Battery metal prices are on the floor, and massive expansions by Chinese miners have been instrumental in driving them ...
Commodities usually rally when central banks cut interest rates, bolstering the case for going long raw materials in the ...
Indonesian state-controlled miner Aneka Tambang (Antam) aims to launch the construction of two nickel processing ...
Aluminum prices touched an 11-week high on Monday over concerns over slow recovery in production in China’s Yunnan ...
China’s steel industry is young compared to Europe’s, and its transition to net zero may be slower as it takes a ...
Awalé Resources (TSXV: ARIC) stock soared on Monday after the Newmont-backed gold explorer reported outstanding assay ...
French President Emmanuel Macron said on Monday the government is seeking to designate new regulated gold mining zones ...
No comments have been posted yet ...