GoldSilver.org, Bank of America Slash Gold and Silver Price Forecasts
Fort Worth, TX (PRWEB) January 15, 2014 -- Two storied financial enterprises in less than one week have lowered their outlook for gold and silver prices in 2014, with Bank of America Merrill Lynch cutting forecasts Thursday followed by GoldSilver.org’s report today. Bank of America’s research indicated that gold could average $1,150 in 2014 while silver could fall into $18 territory.
B of A’s latest predictions are reductions of 11% and 21%, respectively. GoldSilver.org stated in its report that gold might not reach the $1300 mark this year if interest rates remain below 1%, and the online gold and silver trading platform believes that failure to raise interest rates could keep silver below the $21 line.
Interest rates have been a sticking point for gold and silver prices since the financial collapse, as corporations taking advantage of discounted Fed loans are able to produce profits and dividends that drive investor sentiment as well as stock prices. Higher interest rates could pare stock gains while at the same time making previously devalued money more expensive. A similar situation from 1960 to 1980 caused precious metal prices to soar more than 1000%.
Bank of America also noted that heavy selling of gold and silver continue and force prices down further. Mass sell-offs have become common over the last few months as institutional investors shed derivatives to make room for traditional paper-based investments while household investors have shed paper-based metals investments for privately-held gold and silver.
GoldSilver.org is a North American market leader for gold and silver investments for home delivery or within retirement accounts. They buy and sell all sorts of investment-grade gold, silver and platinum. For more information or a free gold and silver investment guide, visit http://www.goldsilver.org or call 1-800-394-3337 today.
Ken Hansen, goldsilver.org, http://goldsilver.org, +1 800-300-0715, [email protected]
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