Prices may rally through June before dropping, according to Gerhard Max Schubert, the head of precious metals, consumer banking and wealth management at Emirates NBD.
Exit Strategy
"People should look for an exit strategy in the second half of next year," Schubert said in an interview in Montreal. "Nothing is going to happen in U.S. policy until the presidential election, and it gives a year to sort things out in Europe and come up with a credible solution."
Rising consumption in India and China, the world's top gold buyers, will continue to support prices, and the next 10 to 20 years will be "defined" by increased purchases in Asia, Pierre Lassonde, the chairman of Franco-Nevada Corp., said during a presentation at the Montreal conference.
"There's very broad-based global demand," Mark O'Byrne, the executive director of GoldCore Ltd., a brokerage, said in an interview in Montreal. "The monetary, geopolitical, macroeconomic and systemic risks are driving it, and until those risks are reduced somewhat, the outlook is fairly sound."