He wrote the book on “$10,000 Gold” – and he’s sticking to it – by Lisa Wright (Toronto Star – January 13, 2014)

The Toronto Star has the largest circulation in Canada. The paper has an enormous impact on federal and Ontario politics as well as shaping public opinion.

Despite coming off one of the worst years ever in the gold market, CEO of the Bullion Management Group sticks to his extremely bullish price prediction.

Nick Barisheff is the first to admit his golden gaffe. “Last year – a year that saw gold’s greatest decline in 32 years – my book $10,000 Gold was published. How’s that for timing,” the gold bug deadpanned to giggles from the Empire Club of Canada business audience Thursday.

But what he said immediately afterward in his speech to the Bay Street crowd at the Fairmont Royal York Hotel luncheon naturally raised a few eyebrows. “However, I’m confident that gold’s bullish fundamentals are still intact,” said Barisheff, CEO of Bullion Management Group Inc., a precious metals investment firm based in Markham.

In fact, despite the gloomy outlook among metals analysts as the price languishes at the $1,200 (U.S.) per ounce price range, he believes it will rise to $1,800 later this year – and that it remains on track for $10,000 an ounce by 2020.

He argues that gold and U.S. government debt have shared a lock-step relationship since 2001. Though he says their paths diverged in 2013 due to naked short selling of gold futures contracts, he thinks the duo will return to the same upward trajectory this year.

“Since there is no political will to curtail debt increases or introduce austerity measures, I believe gold will surpass $1,800 and likely set new highs in 2014,” said Barisheff.

Gold catapulted to an all-time high of $1,921.15 an ounce on Sept. 6, 2011, but never made it to the $2,000 milestone that was widely expected at the time as stock markets began to climb and the economic rebound from the 2008 recession took hold.

But Barisheff is not at all deterred by gold’s drop, saying it gives investors one of the best opportunities to buy the commodity at a bargain since it began its wild bull run in 2002.

“Today, many investors are tempted to sell their underperforming precious metal holdings and use the proceeds to purchase U.S. equities. But remember the old Wall Street saying is ‘Buy low, sell high’, NOT “Sell low, buy high’,” he warned.

For the rest of this article, click here: http://www.thestar.com/business/2014/01/13/he_wrote_the_book_on_10000_gold_and_hes_sticking_to_it.html


Comments are closed.