Gold remains a premiere investment and will end the year above $1,600 per ounce to mark the 12th consecutive year of increases for the metal, gold expert Pamela Aden of Aden Forecast said in a presentation at this week’s Hard Assets Conference in New York.
Together in a good year the industry spends about $2 billion more than it generates in earnings and takeovers. In a bad year the industry loses $8 billion more than it generates, Rick Rule of Global Resource Investments warned, in what he termed the “price loss ratio.”
Analysis of the platinum group metal (PGM) markets looking at traditional supply and demand fundamentals does not explain the price levels for these metals today. Only when investment inflows are taken into account does the picture become clear.
In making the case for continued investment in gold, the managing director of American Precious Metals Advisors is succinct: gold reaching $2,000/oz. in the next year and $3,000-5,000/oz. "before the cycle begins to reverse."
Despite widespread assertions gold is becoming scarcer, the metal actually is oversupplied, according to the Kitco Metals senior analyst, providing a contrarian response to a bullish precious metals mood at the New York Hard Assets confernce.
Last week's monumental silver selloff presents a sterling opportunity, according to Eric Sprott, is CEO of Sprott Asset Management LP, who characterized gold, by comparison, as the investment of the last decade - rather than the one we're in.
Nearly universal in scope, the global scrap supply arises from a vast network of collectors, dismantlers and processors both large and small in every country - in practically every state, province, district and county - on the planet.