BLBG: Gold May ‘Possibly’ Rise to $1,500 an Ounce, Citigroup Says
By Elisabeth Behrmann
May 28 (Bloomberg) -- Gold may climb to $1,500 an ounce this year should investors continue to be concerned that Greece’s debt crisis may spread through Europe, Citigroup Inc. commodity analyst Alan Heap said.
“Certainly $1,500 an ounce is possible,” Heap said. “Gold’s rallying despite dollar strength and it’s rallying because investors are once again concerned about sovereign risk.”
Gold for immediate delivery dropped 0.3 percent to $1,209.60 an ounce at 12:03 p.m. in Sydney. It reached a record $1,249.40 an ounce on May 14. Citigroup’s official forecast for gold this year is $1,250 an ounce, Heap said.
To contact the reporter on this story: Elisabeth Behrmann at Ebehrmann1@bloomberg.net
