As the gold markets continue to attract the attention of investors around the world, one veteran market player has just made the call for gold to hit more than $2,000 per ounce over the near term. Victor Sperandeo, well-known manager of a multi-billion dollar fund, has worked with such key industry participants and George Soros and Leon Cooperman over the past four-plus decades.

Calling Out the FOMC

While Sperandeo made his comments in an interview with Eric King before the recent Fed meeting, he called its outcome correctly. He also echoed what an increasing number of analysts are coming to believe: The Fed is out of tools and is trying to delay a decline in the dollar with its threats of a rate increase.

As Sperandeo sees it, the “propaganda” of the Fed is being augmented by efforts to prop up the economy and keep energy prices low. However, he believes these efforts are doomed to fail, resulting in a failing economy and declining dollar. According to his analysis, the FOMC will not raise rates at all this year in its effort to avoid such results.

The Fed’s efforts have failed thus far, and Sperandeo believes other traders and buyers of gold see the chickens coming home to roost for the U.S. economy. For example, this experienced market watcher points out that “Today the Mexican peso is hitting new lows vs. the dollar, and the price of gold in Mexican pesos is hitting new all-time highs…”

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As a result, he sees the price of gold easily surpassing the $2,000 mark as the Fed tries other desperate measures, such as more stimulus spending.

An Increasingly Bullish Consensus

While gold has already generated some very handsome profits for investors for 2016, many seasoned observers think the best is yet to come. 1 The $2,000 prediction of Sperandeo is overshadowed by even more bullish forecasts of $5,000 (and even more) per ounce over the next few years.

While there are many investors who love the speculative prospect of such prices, many serious and long-term gold buyers are motivated by a number of other factors. In a world where virtually all governments are facing historic levels of debt exacerbated by unsustainable deficit spending, gold presents a very attractive alternative to fiat paper currency.

There are numerous market dynamics creating a bullish environment for buying gold for many new buyers. Additionally, the market statistics for investment purchases show an increasing number of serious investors are using the market bounces to add to their holdings for long-term value. 2