(Kitco News) - Goldman Sachs looks for most base metals to trade higher in 2012, although analysts have scaled back their expectations for some. “The Chinese year of the dragon is set to see an end to de-stocking in Europe and reacceleration in Chinese growth, resulting in generally higher base metals prices on a 6-12 month view,” Goldman says. “Over this time frame, we are most bullish on copper, moderately bullish on aluminum and zinc, and bearish on nickel.” Nevertheless, Goldman says it has trimmed its 12-month forecasts for copper to $9,000 a metric ton from $9,500 previously, and zinc to $2,200 from $2,400, due to expectations of greater supply availability. Also, Goldman lowered its 12-month nickel forecast to $18,600 from $21,000 on increased conviction of oversupply. The 12-month forecast for aluminum is $2,400.
KZL Price at posting:
32.5¢ Sentiment: ST Buy Disclosure: Held
