Welcome to illuminati silver we tell you the
truth about silver. Today is Wednesday 11th November 2015 and
we are going to briefly discuss gold price predictions for the next few years. This is
a follow up to our video produced recently on Silver.
Many of our listeners know that long term we are bullish on gold and silver. They also
know that when we discuss these commodities, we are taking a 10+ year view on gold and
a 20+ year view on silver, though obviously this does not mean we do not see prices rising
before then, but that we are warning, do not seriously place large amounts of capital into
these commodities unless you can wait that period of time without having to sell them.
Naturally, we are speaking about purchaseS of the physical as opposed to paper contracts
which behave and trade in very short time periods. Now many gold and silver bulls believe
that both gold and silver are going to rise very soon and very dramatically.
So who is predicting what and when? Please bear in mind these two criteria; (1) prices
are valued in US dollars; and (2) we are assuming no global black swan or hyper-inflation event
takes place. Now before YOU shout ‘yes but these black
swans will occur and soon,’ we do not know that, its only speculation and many speculators
have been forecasting imminent global financial collapse for nearly a decade now. You and
we may be very surprised at how long Central Banks and Governments may be able to stave
off the consequences and ramifications of their vast money printing operations.
At the time of producing this video gold stands at $1085 AN OZ so let’s look at who are
some of the more recent gold predictors; (1) The ‘think tank’ Capital Economics
told the Financial Times this week that gold could drop to $1,050, “consistent with a two-year
US Treasury yield of 1 per cent. If rates do increase next month, expectations are for
the metal to move towards $1,000 or less.” The Week UK publication added “where gold
goes from here is far from clear. Some analysts reckon it could plunge even lower – perhaps
down to $800. (2) Longforecast.com – The Economic Forecast
Agency predicts that gold will range between $1191 and $1099 between now and February 2016.
Will dip in 2016 to $973, further dip to $930 in 2017, lower again to $775 in 2018, lower
still to $767 in 2019 and then begin to rise to $977 in 2020.
(3) FastMarkets Head of Research William Adams said on Bullion Vault today : “With the
dollar likely to remain bid until the FOMC meeting in mid-December, the headwinds are
likely to remain in place so tests of support and breaches of support seem probable,”
(4) Ken Ticehurst published on gold-eagle.com:” Gold fell heavily last week as forecast. Our
long awaited fall to lower lows seems finally to be underway. Contrary to most opinion this
fall is not a case of manipulation by dark forces, but is simply a resumption of a long
term trend we have been modelling for over a year now.”
(5) The Economic Intelligence Unit produced its gold price forecast up to the end of 2018
where surprisingly it was more bullish than many others quoting that the gold price is
expected to vacillate between $1253 – $1347 over the next 2-3 years.
(6) By contrast Hugo Salinas Price, born a Mexican, and is currently President of the
Mexican Civic Association Pro Silver, A.C. where for a number of years has worked tirelessly
to get Mexico to adopt a silver coin as legal currency, when interviewed by gold-eagle.com
this week stated “Gold in 2020: $10,000 to $50,000/oz, or perhaps no price, in paper
money. Only by selling something, will you be able to acquire gold or silver. Think Zimbabwe:
you act like Zimbabwe, you get your Zimbabwe. Impossible to buy gold using Zimbabwe dollars!
Silver in 2020: $600 – $3,000/oz. Count on these sorts of prices, if war breaks out between
US and Russia/China. Otherwise – who knows?” Apart from Hugo Price we too were just a little
surprised at the extent of the bearishness, that these non-bank organisations view gold.
We still hold that gold may very well hit $1000 or just below soon, but find it difficult
to seeing it fall to the $770 – $800 level, though nothing is impossible. We assumed that
All In Sustaining Costs for gold hovered around the $1,000 level (not cash costs mind which
are much lower) and therefore this would provide a base, until we heard Rob McEwen chairman
and chief owner of McEwen Mining, a mid-tier gold and silver producer on Kitco yesterday
who admitted that his AISC for gold stood at $914 an oz and is looking at methodologies
to reduce this much further. We hope you have found this video helpful
and informative, and would appreciate it if you would give it a thumb up, comment and
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Silver Illuminati owners come from a background of Banking, International Wealth Management
and Economics. Having now retired from these worlds we are not qualified to give investment
advice. Therefore, this and other productions must not be deemed to be giving such advice
and merely represent the personal views of its owners.