As 2015 edges closer and closer, the gold outlook is looking better and better. A recent forecast by anAustralia & New Zealand banking group feels confident that gold prices will improve in the coming year, despite interest rate hikes by the Fed.
According to Hard Assets, the bank believes that:
“Physical gold demand in China and India (the world’s two largest bullion consumers) were held back in 2014 amid high stocks and import controls, respectively. Both these shackles have been removed, putting demand on a solid footing as we head into 2015.”
In the report, TD Securities specifically predicted that gold will average $1,175 in between January and March, $1,200 in the second quarter, $1,250 in the third and $1,275 in the final three months.
Yellen has spoken…
These predictions were released before Wednesdays dovish announcements following the much anticipated two-day FOMC meeting .
According to Kitco, “Federal Reserve Chair Janet Yellen expects the Fed to hold a key interest rate near zero for the next three months — if not longer.”
This further supports the theory that gold should turn around in the coming year.
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