hi.this is my first post....i have read a few economists opinions and some recon that the price of gold may hit $1000 maybe in five years time?
does anyone think this is possible, and if so what share would be ideal to accomodate this rise?
thanks
Mofra
9th-January-2005, 08:19 PM
Welcome potto,
Just wondering where you read the $1,000 forecast from? Sounds like it would make for interesting reading either way.
If that figure is in US$ the effect of our own currency strength or weakness would be major - so as for companies who are producing gold, it would depend on whether they are doing so in Australia or are global.
Just some rambling thoughts to consider,
Mofra
potto_10
10th-January-2005, 11:48 AM
hi mofra,
i was watching bloomberg and a guy called Tom Hougaard from city index said that the price of Gold may reach $1000 US in around five years time.
thanks
doctorj
11th-January-2005, 02:34 AM
This is an article taken out of The Weekend Australian back in October. It bases it's forcast of gold prices based on how many barrels of oil an ounce of gold could traditionally buy. Somehow they end up and a figure of US$880 - it all makes for interesting reading at the very least.
One would have to ask if this is just the symptoms of a bullish market. People seem to come up with all sorts of plausible fundamental reasons to purchase stocks. I think it's wise to temper ones enthusiasm and mix the fundamentals with a bit of good ol' TA.
Link to article: http://www.copperco.com.au/uploads/CUO0000018.pdf
Mofra
13th-January-2005, 10:13 PM
Howdy,
Thanks for the link & sources, there was a discussion here a while ago about the $US being artificially propped up by Asian currency buying looking to add stability to their domestic currencies, and this buying cannot continue at current rates. The drop off in buying would cause the $US to fall, and the traditional inverse relationship between the $US and gold would cause a rise in the gold price. Till now I hadn't really heard any predictions of the likely gold price, although I've found Robert de Crispigny's past predictions fairly accurate (unsure of his opinion for this year though).
