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As gold prices continue to rise, having hit a new record of $3,245.42 per oz. Monday, geopolitics and other factors could push yellow metal prices even higher, said Toronto-based asset manager Sprott.
Even with Tuesday morning’s slight pullback to $3,223.70, gold has still gained 23.7% this year to date. This follows last year’s 27.23% increase.
“The migration of capital to gold and possibly other monetary metals could result in a price that is multiples of the current price of $3,000 per ounce,” John Hathaway, a managing partner at Sprott, wrote Friday in the Sprott Gold Report.
Gold prices have benefited as investors sought safe assets amid geopolitical tensions, central bank gold buying, inflation and a weakening US dollar.
Gold ETFs rise
Meanwhile, gold-back exchange traded funds (ETFs) are likely to benefit from shifts in capital flows, Hathaway said.
“Expanded…
