Peter Schiff Anticipates Parabolic Move For Price of Gold Over Coming Years
Are you a gold bull? If so, then you are most likely a fan of Peter Schiff.
Schiff, president of Euro Pacific Capital, appeared on CNBC earlier today to reiterate his position that the price of gold still has a long ascent ahead of it.
Schiff advised investors to "stock up" on the precious metal, claiming that gold could rise as high as $5,000 due to inflationary pressures.
When pressed for a time-frame, Schiff said that "it might not hit $5,000 this year or next year, but it will eventually - maybe before Barack Obama leaves the White House."
Gold is currently trading at $1,161.40 per ounce.
Over the past year, the price of gold has sky-rocketed from under $800 to its current price of $1,161.40.
Peter Schiff rose to prominence in 2007 when he accurately predicted the collapse of the US real estate market, as well as severe problems in the credit card industry. Schiff's predictions turned out to be very accurate, and he is now widely sought-out for his views on the markets and economy in general.
Schiff argues that there is not enough gold "to meet the demand that is coming", and that regular people are going to start saving in gold due to the zero interest rate policies of governments across the world.
The price of gold has also been helped tremendously as of late due to numerous countries across the world (including China and India) diversifying their forex reserves out of US dollar dominated holdings and into other things, such as commodities. China and India have been active buyers of gold as of late, and this has helped to buoy the price of gold.
In addition, investors across the world continue to worry about inflation and the collapse of the US dollar, and this has led them en masse into gold.
Is Peter Schiff right? Will we be looking at a parabolic move for the price of gold over the coming years?
Or is gold just another bubble that is waiting to be popped?
Source: CNBC.com: Stock Up on Gold - Prices Could Reach $5,000
Filed under: General Market News