Kooi
Forecasts Gold to Rise to $2,200 per Ounce By Connie Madon |
Oct 7th 2010 10:30AM
Gold
keeps powering to new record highs amid a battery of speculations.
Mari Kooi, CEO of Wolf Asset Management International LLC,
sees gold rising 64% to $2,200 per ounce, Bloomberg reported.
If we look for a key reason for the gold rally, the most
obvious one is the weak U.S. dollar. Kooi believes the dollar
will fall another 20% within the next 12 months. A falling
dollar will spark higher commodity prices and create inflation.
The dollar "will fall as people perceive that the
Fed will do anything to fuel growth," Kooi told Bloomberg.
"Commodities are going to be a hot thing."
Kooi is also bullish on copper. She is forecasting a 10%
jump to $9,000 per metric ton by year end. "Copper
is the one to watch," she further told the news agency.
"It's a concentrated market where supply can be interrupted,
but at the same time there is burgeoning demand."
On the London Metals Exchange, copper closed at $8,176
per ton yesterday. The record high is $8,940 set in July
2008. With both China and India growing rapidly, the demand
for copper grows proportionally.
Do you believe that gold will trade above $2,000 per ounce?