The Financial Post reports in its Thursday edition that gold is having a strong run and is now trading above $1,800 after a decade of largely trading range-bound (all figures U.S.). The Post's Victor Ferreira writes, however, that unlike in prior years, it is not just the gold bugs who feel confident about this investment's potential. For example, Bank of America in April raised its 18-month price target on gold to $3,000, citing the pressure that fiat currencies may come under due to central bank activity. Goldman Sachs Group last month raised its 12-month target to $2,000 due to similar concerns about currency debasement. David MacNicol, president and portfolio manager of MacNicol and Associates, has kept about 10 per cent of his clients' portfolios in gold -- both physical and in mining stocks -- over the past several years. The prolonged rally, however, has convinced him to boost that exposure to 20 per cent. Mr. MacNicol likes B2Gold, which is up 13 per cent since the beginning of May, and Lundin Gold, which has rallied more than 10 per cent in the past three months. The future will be even brighter, Mr. MacNicol said. He sees little reason the price of gold will not hit $2,500 by the end of next year.

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