| Credit Suisse Wednesday cut its outlook on gold prices for this year and next, as it expects Asian physical demand for the metal will not compensate for a lack of investment interest in other regions. The bank cut its average price forecast for gold this year 9.2% to $1,580 a troy ounce and its 2014 average price forecast 12.8% to $1,500/oz.
"While the problems in Europe and, perhaps, concerns about the impact of the U.S. sequester, may keep the metal reasonably well supported during the current quarter, we expect further weakness through the second half of the year," the bank said. "By long-term historical standards gold remains overvalued, both in real terms and relative to other commodities and assets...............................................Full Article: Source
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