Gold prices, which this week hit the highest level for over 25 years, could break the record of 850 dollars per ounce within two years on massive investment demand, metals consultancy GFMS said on Wednesday.
"Levels safely over 600 dollars are now in our sights and further hefty gains over the next year or two are quite possible," said Philip Klapwijk, chairman of the independent metals research group.
"In the right circumstances, the 1980 high of 850 dollars could even be taken out," he added in the group's annual survey on gold, which had struck the historic high point in January 1980.
In trading on the London Bullion Market on Tuesday, gold prices jumped above 600.0 dollars per ounce for the first time since December 1980, reaching a high point of 604.30 dollars.
"The consultancy feels this bull run would be overwhelmingly driven by investment and the report details what factors sustained this in 2005 and should continue to do so moving forward," the GFMS added.
