Citigroup Backs Silver to Soar But Warns Gold’s Peak Is In
Precious metals have been among the strongest performers in commodities this year.
Photographer: Munshi Ahmed/Bloomberg
Silver will extend a rally beyond $40 an ounce in the coming months on tightening physical supplies and growing investment demand, according to Citigroup Inc., which reiterated a more cautious stance on gold.
The three-month forecast was raised to $40 from $38, while the six-to-12 month outlook was boosted to $43, analysts including Max Layton said in a note. Gold’s outlook was unchanged, with the bank saying the peak may be in, and holding forecasts for a drop below $3,000 next year.