Survey: Will Gold Break $1,400 Before Year End?

Survey: Will Gold Break $1,400 Before Year End?Investors are no doubt ready to see gold make some significant gains. But so far this year, and particularly in the second quarter, the yellow metal has loitered around the $1,300 mark.

Still, 2014 is not over, and that means there is still hope that gold will recover before the year is out. That's especially true as the fall season sets in and investors return to the market.

One person who believes gold is due for a spike in price is Scott Carter, CEO of Lear Capital. In a recent call, he told Gold Investing News, "I've been holding firm. We're going to see gold hit $1,450 before the end of the year."

While some investors might shake their heads in disagreement, Carter pointed out that for the last quarter, gold has for the most part been relatively stable, trading in a narrow range of about $1,280 to $1,320 per ounce. And though those prices aren't too impressive, Carter highlighted that the yellow metal is up about 8 or 9 percent, making it the best performing asset class in 2014.

So why will gold make a move even higher?

The answer involves a simple — yet uncomfortable — truth that no one wants to hear: the US economy isn't doing that great.

Despite Q2 GDP numbers coming in at 4 percent, Carter expects that figure to be revised significantly. "As soon as you read that half the growth was from inventory build up and not from actual sales," Carter explained, "you know that the revisions for Q2 GDP growth 30 days and 60 days will take that 4 percent and knock it down to about 2.5 percent."