Gold Could Hit $1300 in Next Few Days: Strategist
Gold prices closed below $1,225an ounce on Thursday as stocks rose and the euro climbed against the dollar. How should investors be trading the precious metal? Rich Ilczyszyn, senior market strategist at Lind-Waldock and Torsten Slok, senior economist at Deutsche Bank discussed their insights.
Slok said rising gold prices imply that the U.S. economy is still fragile.
“The U.S. economy is hit by a double whammy—the fiscal consolidation globally could shave a full percentage point off GDP growth in the U.S.," Slok told CNBC.
"And at the same time, the dollar appreciating is something that could take off about a half a percentage point,” he added.
In the meantime, Ilczyszyn said he is bullish on gold in the long term, saying it could hit $1,300 an ounce in the next few days.
“Ultimately, we’re going to see higher prices, regardless of where the dollar and inflation are… but if we can’t get above $1,250, then we’re selling off,” he said.
Scorecards—What They Said:
- Ilczyszyn's Previous Appearance on CNBC (May 12, 2010)
- Slok's Previous Appearance on CNBC (May 27, 2010)
Opposing Opinions on Gold:
- Why US Investors Should Not Buy Gold: Strategist
- Cramer: Six Reasons to Buy Gold Right Now
- Better Safe Haven Than Gold?
CNBC Data Pages:
Top Gold Miners:
No immediate information was available for Ilczyszyn or Slok.