Top Forecaster Gan From OCBC Sees Gold Declining Through 2016
- U.S. borrowing costs at 1.5% by end of next year, Gan says
- Holdings in exchange-traded products to slide further
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It’s all downhill for gold next year -- at least according to the top ranked precious metals forecaster.
Bullion will drop each quarter to $950 an ounce by the end of 2016, said Barnabas Gan, an economist at Oversea-Chinese Banking Corp., keeping to a forecast he made in October. The bearish outlook reflects an improving U.S. economy and an increase in borrowing costs to 1.5 percent by the end of next year after an initial rise of 25 basis points at the Federal Open Market Committee meeting on Dec. 15-16, he told reporters in Singapore on Thursday.