Gold News & Info

Source: MarketWatch

London— Two leading brokerages said Tuesday that they are expecting gold prices to continue to rise, boosted by U.S. rate cuts, surging oil prices and a tightened credit market. At Bear Stearns, analysts said on a conference call discussing their outlook for metals and currencies that an expected quarter-point rate cut from the U.S. Federal Reserve on Wednesday could see gold prices moving over the $800-an-ounce mark within a week. If the Fed cuts rates by half a percentage point then the upwards move would be stronger, they added, noting that the Fed's last half point rate cut in September started a significant rally in the gold price.

Meanwhile, Credit Suisse analysts were even more ambitious for gold prices. They expect the precious metal to hit $838 an ounce in 2008, $950 an ounce in 2009 and $1,050 an ounce in 2010. See full story.