Gold price to soar above $3k an ounce by 2019, expert says

Gold prices are forecasted to reach $3,000 to $4,000 per ounce in the coming five years. (File photo: Reuters)

Gold prices are expected to reach $3,000 to $4,000 per ounce in the coming five years, the chief of Gold Services AG has forecast.

Rolf Schneebeli, CEO of the firm, attributed this to higher inflation stemming from trends in the U.S. money supply.

“We are going to have a long-term uptrend for gold, because the money supply that we see in the U.S. dollar has been expanded that there is no other way [but higher] inflation in the future,” Schneebeli told the Al Arabiya News Channel.

While uncertain of the exact time frame, Schneebeli is confident that inflation is inevitable and gold will regain its status as a safe haven for investors.

“Inflation has to come. And gold, as we see, is the one investment that will protect investors,” he added. “It’s not going to be a one-way street, but the trend is definitely up again.”

The gold price on Monday hit its highest level in 3.5 months during trading in Singapore. The price of the precious metal plummeted by 28 percent in 2013, but has gained about 10 percent this year.

Last Update: Wednesday, 20 May 2020 KSA 09:41 - GMT 06:41