At the 2010 World Mining Investment Conference in London, James Turk opened his keynote by reaffirming his previous prediction that gold will reach $8,000 per ounce by 2015. He bases his predictions on past performance. When asked about where he thought gold would be by the end of this year he responded with $1,800 to $2,000 per ounce.
While his predictions are based on past performance the kicker is that he believes this price increase will be due to the debasement of the monetary system. Rather than an increase in wealth it will be gold keeping pace with inflation as the dollar continues to be printed and the debt continues to grow. He believes that physical gold and silver are the only real money and one true way to preserve wealth in this environment.
James Turk has one thing right for sure and that is gold and silver are the only true money. All currencies world wide have no intrinsic value. Gold and silver have no debt attached to it and are free from liens or encumbrances. Whether or not his predictions on the price will come true, well we will have to wait and see. Turk tends to be one of the more aggressive forecasters on gold prices.
What is the most concerning about his predictions is that the rise in the value of gold will be due to hyper inflationary conditions. That means that our wealth will not increase due to the rising value of gold (for those that own it) but only be maintained. All dollar denominated assets and fixed income products will lose value dramatically. So the message here is buy gold coins and possibly silver in order to preserve what you have spent years building.