Predictions for the Weeks Ahead

Gold prices have gone up by about 10% in the last month, and shows little sign of faltering. Other metals have also been following a similar trend, and are now trading near all-time highs. The upward trend can be attributed to uncertainty over supply and the in part, to the growing demands of a booming Chinese economy. The weak dollar has also been a major factor, together with high oil prices.

Gold is not expected to drop below $500 USD per oz. anytime soon. Investors and speculators are flocking to gold related stocks and funds in an effort to hedge their investments in case of a US-led economic crash.

With even more uncertainty in the Middle East - Iran's stand-off with the UN/USA over their nuclear programme is of great concern - we can expect gold prices to increase by another 5-10% in the next month. A gold price of $600 USD per oz in February-March 2006 is not impossible.

We live in troubled times, and gold is our safety net.