Citigroup Inc. increased its 2012 average-price forecasts for gold and silver on the view that the monetary-easing policies deployed by world central banks would draw investors to the precious metals.
In a note dated Monday, the investment bank increased its forecast for the average price of gold this year by 2.3%, to $1,681 a troy ounce. The bank lifted its silver forecast 5% to $32 a troy ounce. On Tuesday morning, gold for December delivery was up 0.5% at $1,774, while silver for December delivery rose 1.1% at $34.365. Gold prices have been below $1,700 for much of the year. Silver has traded in a wide range this year, briefly topping $37 in February but also sliding to almost $26 in June………………………………………..Full Article: Source