Gold miners push ASX higher as Citi raises price outlook
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The news: Gold miners were among the biggest gainers on the ASX 200 as the spot price for the haven asset remained high and analysts raised their near term price expectations.
The numbers: Shares in Greatland Resources (+4.67%), Emerald Resources (+4.75%), Catalyst Metals (+4.32%), Ora Banda Mining (+3.92%) and Northern Star Resources (+3.5%) were all trading higher at 3:11pm AEDT.
The spot price of gold remained near record highs having slipped just 0.04% to USD4,595.88 ($6,849.66) per ounce.
The context: The gains also follow a more bullish near-term outlook for gold from Citi analysts, who expect the current bull market to remain intact amid heightened geopolitical risks, ongoing physical market shortages and renewed concerns around the US Federal Reserve's independence following the recent subpoena of chair Jerome Powell.
Citi analysts set their base case target of USD5,000 an ounce for gold and said silver is likely to outperform gold, lifting its silver target to USD100 an ounce.
The bank also reiterated its preference for platinum over palladium and expects industrial metals, such as aluminium and copper, to perform well.
The source: Citi Analyst Report
