Goldman slashes gold, copper, $A forecasts

Machete - Simply Samad

From Goldman today:

Commodity and currency forecast changes
Our Global ECS team expects the gold price to drop in the medium term: its new December 2014 forecast of US$1,050/oz is lower than spot gold, and lower than its US$1,300/oz forecast for the remainder of 2013.

The team has also lowered its copper price forecast in the short term, and now forecasts a 2H13 price of US$3.12/lb (was US$3.55/lb) and 2014 copper price of US$2.99/lb (was US$3.15/lb).

The A$ passed through our economists’ previous 3-month target due to a combination of the US Fed entertaining tapering QE, poor commodity price trends, the subsequent sell down in Australian equity positions, and signs that the demand for A$ assets by reserve diversifiers has paused. Our economists therefore lowered their A$/US$ forecasts to 0.86 in in 2014 (was 0.91) and to 0.85 in 2015 (was 0.89)


  1. If it looks even remotely like not happening then the ‘market movers’ will step in and make sure that it does.

    This is not a market to be exposed to when it is so easily distorted by the vested interests.

    Bring on the day of reckoning that will expose these banking assholes for what they are………

    • From jim Rogers (Today June 26) on the latest market turmoil….

      “This is the first time in history where you’ve had all the central banks in the world printing money at the same time. Europe, Japan, America, and the UK, all, are frantically trying to debase their currencies…I’m afraid that in the end, we’re all going to suffer perhaps, worse then we ever have, with inflation, currency turmoil, and higher interest rates. As I say, this has never happened before, it’s never been a good policy in the long run, so I’m afraid we’re all going to suffer for the rest of this decade from this crazy, crazy money printing.”

      Goldman Sachs can go and rot in hell…..

  2. I see S&P yesterday released a report seeing copper and IO holding well or better through to 2014 at least.

  3. As someone else said
    “It is a truth universally acknowledged that Goldman in possession of a sell recommendation must be in want of the asset they recommend that muppets sell.”