This year has been proving to be a gold speculator and investor’s dream after the yellow metal rallied hard to hit historical highs thanks to a perfect storm of a global pandemic, massive government stimulus packages, weakening dollar and a stock market bull run that had finally run out of gas. The torrid rally represented the sharpest gain the metal has mustered in more than a decade. Wall Street hedge funds have been extremely bullish on gold, with some eyeing prices of $3,000 and even $5,000 per ounce.
To wit, Bank of America Merrill Lynch said that it expects gold to hit $3,000 by early 2022 while Citigroup and billionaire Thomas Kaplan, founder of New York-based asset management firm Electrum Group, believed that $5,000 was in the cross hairs.
But now there’s growing evidence that the gold rally could be done for now, and those lofty targets will remain out of reach for gold punters.
Gold prices have pulled back 13% after touching an all-time high of $2,075 in August, as a barrage of potential Covid-19 vaccine candidates continues to give the world hope that the worst could be in the rearview mirror. CLICK for complete article