Re Gold, in Australia Evans and Partners analyst Cathy Moises is talking about gold producers going bust:

“They will go broke. We are seeing quite a few coming on in excess of $US850 per ounce cash costs, and in fact I am seeing some coming on now that don’t even quote cash costs.”

Average production costs for gold miners are about $US700 per ounce.

Clifford Bennett of Herston Economics:

“I have been looking for a target of $US1,250 for many months now, with the potential to rise as far as $US1,450 in Q1 2010. That may be a medium-term high, but the long-term risk is still higher again to perhaps $US2,500, but that is over a three-to-five-year period from now.”

Keith Goode of Eagle Research Advisory:

“When everyone says gold is going to rise, you can almost guarantee it is going to come off, as people take profits. When people say gold isn’t going anywhere, it will rise. The central banks are going to continue to buy it, the Chinese are going to continue to buy gold, India is still a steady buyer. You could get gold prices of $US5,000 an ounce, but in that scenario you would have a complete financial meltdown.”

Mr Goode predicts gold will settle at around $US1,200 or $US1,300 per ounce for a while and then go up towards $US1,500.

Mat Kaleel of H3 Global Advisors:

“If the government in America keeps printing money to reflate itself out of all its problems, it has consequences … they are debasing their currency. By printing $US1 trillion to pay for a Medicare bill, if you have the same amount of gold in the world, you have increased your money supply by 10 per cent, and the gold price should go up by about 10 per cent.”

http://www.smh.com.au/business/golds-shine-may-not-last-20091229-lhx8.html