Thursday, February 11, 2016

LBMA survey concluded a weak bullish run in gold in 2016

Local commodity market analysts observing a strong bull run in gold current year might need to do a rethink, if a London Bullion Market Association (LBMA) forecast survey for this year is anything to go by.

Thirty one analysts from Societe Generale CIB to JP Morgan, & the Barclays and HSBC to our very own BN Vaidya, who contributed to LBMA's Forecast 2016, estimate gold to average $1,103 an ounce in this year, just 1.1% higher than the 1st half of January this year & $57 under the actual average price ($1,160) in 2015. The high optimization of many home-grown analysts, who forecast the price to be greater than last year's average, stems from estimations of a reduction in both frequency and size of US Fed rate increment because of world financial market turmoil.Click For Commodity tips