Goldman raised gold forecast.finally nice to see the banks raising gold and silver prices. I think they are going alot higher than stated below.
cheers and GLTA
Thecook
By Matthew Walls
LONDON (MarketWatch) -- U.S. investment bank GoldmanSachs Group Inc. Thursday raised its 12-month forecast for gold by amodest 1.5% to$1,355 a troy ounce, citing a prolonged period of lowinterest ratesand persistent concerns over European sovereign debt.
Goldmansaid it still believed gold prices will decline beyond 2011once theU.S. Federal Reserve tightens monetary policy and recommended producersconsider selling their production forward.
The bank raised all its forecasts for base metals except for zinc, which it slashed by 18% to $2,225 a metric ton.
Slowinggrowth in Europe and China, as well as strong Chinese zincproduction,will keep the market in surplus longer than expected, itsaid.
Goldmanraised its 12-month forecast for nickel by 167% to $20,000/ton.Risingdemand will more than offset the resumption of nickel production at ValeSA's Ontario operations, where a one-year strike ended last week, itsaid.
The bank lifted its forecasts for copper and aluminum1.4% and 2.5% to$8,050/ton and $2,225/ton, respectively. Goldman saidcopper remained its favorite metal for long positions as inventoriescontinue todecline and the supply deficit should grow this year andnext.
Goldman raised its silver forecast 1.3% to $22.60/oz, largely due to its improved outlook for gold.