Related: Gold Miners ETFs Can Keep Glittering
Still, investor demand is seen as the driving force behind gold prices, but the scenario could change.
“Investment demand and jewelry have had the largest impact on the current balance of gold supply and demand. We expect recent trends–rising investor demand and falling jewelry demand–to reverse in the years to come,” notes Morningstar.
For more information on the gold market, visit our gold category.
Tom Lydon’s clients own shares of GLD.