HSBC Cuts Gold Price Projections 2015 & 2016

Analysts HSBC has cut its forecast for the average annual gold price for 2015 and 2016, as he warned that if the gold price is still going to be under pressure in the short term and may be "engaged in striking range of $ 1,000 / oz" before recovering.

HSBC lowered its average annual price for 2015 to $ 1,160 / oz from the previous $ 1,234 / oz. While for the year 2016 the average annual price is expected to range at $ 1,205 / oz, down from its earlier projection of $ 1,275 / oz.

Several factors are the reason HSBC revises down forecast average annual price they are "outlook tightening Fed policy that triggered the appreciation of the US dollar, global inflation pressures are weak, shrinking demand for gold from India and China, as well as market positioning and momentum," according to analysts HSBC.