Credit Suisse increases near and medium-term gold price forecasts because of supportive macroeconomic and geopolitical factors. While the broker has been positive about gold since late 2018, forecasts for mid to late 2019 were proving conservative relative to spot and forward prices.
Credit Suisse now estimates gold prices will average US$1327/oz in 2019, rising to US$1350/oz in 2020, while long-term forecasts for US$1300/oz are unchanged. All gold stocks are trading at significant premiums to the broker’s base case valuations with Newcrest Mining ((NCM)) the most expensive on a spot basis.
Goldplat plc (LON:GDP) is an AIM-listed, profitable gold recovery services company with two market leading operations in South Africa and Ghana.