Tuesday, June 21, 2011

BOFA makes Bold Statement on Gold Future

Photo: Price of Gold rose over $900 dollars since 2007

BOFA(Bank of America) is making headlines all over the gold news community with its recent bold statement on the future pricing of gold. In a recent statement Bank of America predicted that the price of gold would rise up to $2000 dollars per ounce, but would maintain its position in the area from $1500-$2000 per ounce. With BOFA’s prediction, the price of gold would sustain at this maximum level of $2000 for the next five years.

Reuters, one of the most respected publishers of breaking news in the Business and Financial markets both US and International, reports the following statement from BOFA:

"We look at supply and demand balances required to clear the gold market under three average price scenarios (i.e. $1,000/oz, $1,500/oz and $2,000/oz over the coming five years)."

Whether or not the price of gold will stay under $2000 an ounce during a five year time limit is surely up to debate, however gold owners and investors can be fairly confident that the price of gold will at the very least reach the $2000 dollar floor by 2015. From 2010 to 2011 gold saw a jump of $300 dollars that put gold into the record breaking price of $1500+ an ounce. Over the past 5 years, goldprice.org reports that gold has already jumped $962 an ounce. If history is to repeat itself, the price of gold may surprise BOFA, gold investors, and private gold owners, rising to new record breaking levels.

Sources and Photos: http://www.reuters.com/article/2011/06/21/gold-research-bofamerill-idUSL3E7HL1DO20110621 http://www.goldprice.org/

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