Gold Predicted to Hit $1,900, Reaches New Record

The head of the one of the world’s largest currency funds
predicted gold will hit $1,900 an ounce by later this year, in an July 20 interview with Bloomberg.

“We expect $1,900, by let’s say, October,” said John Taylor,
founder of FX Concepts, in an interview. He said the rise will be fueled by growing strength in the U.S. and
Asian markets as well as the debt problems in Europe.

The prediction comes as the gold price continued its record
gains, logging yet another new record, briefly crossing the $1,620 mark on July
25.

At press time, it was trading at $1,616 an ounce.

The metal first crossed the $1,600 an
ounce mark on July 18.

Analysts attributed the recent gains to uncertainty over the
negotiations over the U.S. debt ceiling.