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Dennis Gartman Bullish on Gold: ‘Don’t Fade It’

After a Bank of America Merrill Lynch analyst said that gold will hit $2,400 in two years, noted investor Dennis Gartman weighed in Tuesday on CNBC.

Editor of widely followed The Gartman Letter, Gartman said on “Fast Money” that he was reluctant to put a number target on the precious metal — but his bet was clear.

“I think clearly the trend in gold is from the lower left to the upper right,” he said.

(Read More: Fed’s ‘QE-Infinity’ Will Push Gold Up to $2,400: Pro)

“Clearly, it’s moving higher. Clearly, the expansion of the monetary aggregates is going to drive gold prices upward. It is a bull market. Don’t fade it.”

Earlier, Francisco Blanch, a global investment strategist with Bank of America Merrill Lynch, wrote in a note to clients Tuesday: “The new target reflects our view that the Fed will maintain mortgage purchases until the end of 2014 and will move to buy Treasuries following the end of Operation Twist this coming December.”

“Given the new open-ended nature of QE3, the upward pressure on gold prices should continue until employment is strong enough to require a change in policy,” Blanch added. “In our view, this is unlikely to happen until the end of 2014.”

Trader disclosure: On Sept. 18, 2012, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s "Fast Money" were owned by the "Fast Money" traders: Dennis Gartman is long GOLD; Dennis Gartman is long WHEAT; Dennis Gartman is long SOYBEANS; Dennis Gartman is long CS; Dennis Gartman is long AG; Dennis Gartman is short YEN; Dennis Gartman is short EURO; Karen Finerman is long AAPL; Karen Finerman is long BAC CALL SPREADS; Karen Finerman is long BAC; Karen Finerman is long JPM; Karen Finerman is long WMT; Karen Finerman is long TGT; Karen Finerman is long MSFT; Karen Finerman is long GM; Karen Finerman is short SPY; Karen Finerman is short IWM; Karen Finerman is short MDY; Tim Seymour is long BAC; Tim Seymour is long INTC; Tim Seymour is long SBUX; Tim Seymour is long MSFT; Keith McCullough is long GLD.

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