Gold slips another 1% during continued drop

There’s been an absolute tragedy in the market when it comes to gold lately, as prices in 2013 have been bad all year long. Besides a precipitous drop in April, what we’ve seen is a downward trend buoyed by occasional small spikes upward. However, the spikes upward are never enough to eat the losses from the big drops that happen now and then, and instead we see prices drop, then stabilize, then drop again, without accompanying meaningful climbs.

Well, today, wouldn’t you know it, gold prices have dropped over 1% yet again. Right now, we’re looking at $1,377 an ounce and many are wondering just how much lower prices can continue to drop.

Consider that in mid-2011, when gold prices were at all-time highs, above $1,900 an ounce, which means we’ve dropped 30% since then. It means that gold fans have not had a very good time the last two years.

Now, there are multiple ways to look at this, you know. With all of the big drops we’ve seen, 1% may not even seem newsworthy, which means a lot of investors may not even be scared away at this point. It’s hard to imagine anybody who’s into gold for the short term now, anyway. People are hoping for a long-term bounce back, instead.

However, commodity analysts at Societe General do not share the bullish optimism of gold fans. In fact, they think gold could hit as low as $1,150 by next year, with investors continuing to tap out to all of the continued drops.