Gold to reach $3k by 2019 experts say

Gold to reach $3k by 2019 experts say

Precious metal expert and co-author of “The Energy World is Flat,” Diego Parilla, said gold prices are increasing and will continue to rise above US$3,000 per ounce on Monday.

Parilla, speaking at The Dubai Precious Metals Conference in the United Arab Emirates, explained how central banks are helping create a “perfect storm” and could push gold prices past $3,000 per ounce within three years.

“The big problem is that monetary policy is contagious and central bankers no longer have any bullets left,” said Parilla. “They have no room to ease aggressively as they are already stretched.”

Capital Economics, an independent research company also forecasts gold’s recovery to not yet be over. “In particular, we expect building inflationary pressures in the US to keep real interest rates low, boosting the attractiveness of gold as a store of value,” the firm stated.

The company predicts gold to reach $1,350 by the end of 2016 and continue to rise in 2017.

A report from the World Gold Council says gold prices have increased in past weeks despite assumptions the US Federal Reserve would raise interest rates this year.