Good as gold: Prices still to rise, but lower than expected
Paris based bank BNP Paribas has cut its next year price forecasts for gold and silver.
French Bank has trimmed its 2013 gold price outlook to $1,865 an ounce, compared to its $1,900 forecast in September but still looks for the metal to rise. The timing of the gold price peak will be closely linked to the rate of improvement in the G3 economies.
The bank trimmed its next year silver forecast to $39.05 an ounce from $41.70/oz. “Silver should outperform gold at times of high risk appetite,” BNP Paribas concluded.
The bank also noted that, yellow metal should benefit most from an expected further round of quantitative easing. In 2013, gold could break its previous record high, but the potential for further upside may be limited thereafter.