ScotiaMocatta has put out an an informative report, published November 20, 2008, "Precious Metals Forecast 2009."
Here is the Executive Summary:
- Prices are falling fast as financial institutions cut exposure across all markets
- The current turmoil in the financial markets is creating enormous confusion and demand for dollars is rising as investors head for cash, all of which is weighing on Gold
- Expect Gold to attract more investment buying once the dust starts to settle as confidence will be rock bottom and investors will want a safe haven
- Hard to imagine given the current performance, but Gold prices could rise to new record highs once the distressed selling has finished and investors realise the dollar may not be the safest place to take shelter
