Quantcast
Other Stories

BMO Research’s revised 2013 metal price forecasts imply a gold-to-silver ratio of 50:1, compared to the current 53:1.

16 Oct 2012

NEW YORK (Commodity Online): BMO Capital Markets has raised its 2013 price forecasts for gold and silver by 14.7% and 11.4%, respectively.

The European Central Bank’s intentions to purchase sovereign debt and a new round of quantitative easing by the Federal Reserve that suggests “continued negative real interest rates and appeal for precious metals as a store of value,” the Toronto based firm added.

BMO Research said that, it now expects the gold price to average $1,950 an ounce in 2013 and break the psychological barrier of $2,000 within the next year. Silver is expected to average $39 an ounce next year.

“They continued that, “for both metals, long-term prices have been increased to account for escalating capital and operating costs.”

BMO Research’s revised 2013 metal price forecasts imply a gold-to-silver ratio of 50:1, compared to the current 53:1. The 30-year historical gold to silver ratio is 55:1. BMO forecasts $1,650 platinum, $725 palladium and $1,200 rhodium next year.


YOUR RESPONSE
Click on the image to reload it
Click to reload image
COMMENTS (0)

@2013 COMMODITYONLINE ALL RIGHTS RESERVED