Gold looks a lot lower--could go higher--oh chit, oh chit
"Gold is lower for a seventh-straight session today as the dollar's advance weighs. Prices were last trading down by $15.59, or 1.13 percent, to $1,370.41, while silver shed $0.28, or 1.23 percent, to $22.42.
Platinum lost $12.15, or 0.82 percent, to $1,467.60 and palladium shed $5.75, or 0.78 percent, to $733.70.
"There seems to be a view that growth is picking up in U.S. but inflation is not picking up," said John Toohey, the vice president of equity investments at USAA Investments. "That is the worst for gold. Prices will remain under pressure unless we see something that leads people to think there is inflation in the system or there is going to be more monetary easing or you see a large institutional buyer of gold."
Meanwhile, the head of commodities research at Credit Suisse warned that gold could fall to $1,100 in a year and below $1,000 in five years.
"Gold is going to get crushed," Ric Deverell said. "The need to buy gold for wealth preservation fell down and the probability of inflation on a one- to three-year horizon is significantly diminished."
Gold seen crushed as Credit Suisse forecasts $1,100 in a year |
