Gold May Reach $1,200 as Weak Dollar Ignites Investment Demand

(Bloomberg) -- Gold will rise to $1,200 an ounce by yearend as the dollar extends a slump, increasing demand for the metal as a store of value, according to researcher CPM Group. “There will be increased economic volatilities, albeit not a major disruption, in the coming five to ten years,” Douglas Horn, a New York-based analyst at CPM, said in an interview at a conference in Singapore. “Investors perceive gold as an asset class to hedge against these volatilities.”

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