Gold Forecast - $1,800 As Monetary Velocity Picks Up Says National Bank of Canada

Paolo Lostritto the director of equity research in mining and metals for National Bank Financial, in Toronto, said he is expecting inflationary pressures to continue to build and despite short-term volatility, expects prices to hit $1,800 in the long-term. Despite, his long-term bullish forecast, Lostritto is expecting gold prices to remain weak in the near-term as the market digests positive real interest rates and strong redemptions in gold-backed exchange-traded funds. In a report released July 21, Lostritto lowered his 2013 forecast for gold prices to $1,300 an ounce from $1,600 an ounce. He also expects the price to remain in that area through 2014.