| When analysts forecast future asset prices they typically choose valuations that make sense in the context of current valuations. We could, for instance, easily imagine that a $100/share stock can trade up to $120/share. But when somebody comes out and says that it can go to $1,000/share in a few years time this person is ridiculed because it is very difficult for us to imagine a reality that differs wildly from the current state of affairs.
So when I suggest that the gold price can rise to a level in the 5-digit range, I expect to be ridiculed or to have my forecast overlooked by most market participants. Nevertheless, as we will see in a moment the prospect of 5-digit gold is not so far-fetched. Gold at $10,000 or higher is not as unlikely as many people would think...............................................Full Article: Source
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