Gold recovery could benefit those who purchase precious metals

Amid the sharp declines in value that gold has experienced so far in 2013, many believe that the commodity is due for a sharp recovery, and such a move could serve as a boon to those who purchase precious metals.

Amid the sharp declines in value that gold has experienced so far in 2013, many believe that the commodity is due for a substantial recovery, and such a move could serve as a boon to those who purchase precious metals.

During the first six months of the year, the commodity plunged in value amid improving sentiment surrounding the state of the global economy. Gold fell into a bear market in April, having lost 20 percent compared to its all-time high reached late in 2011.

Recently, one market expert has predicted that the metal will experience a sharp recovery. David Lennox, resources analyst at equity research firm Fat Prophets, told CNBC that by December, the metal could surge 20 percent. He predicted that quantitative easing will be needed for longer than expected, which should be bullish for the metal.

"That's going to be good for gold," Lennox told the media outlet. "All we've got to do is see the speculative end of the market again become convinced that perhaps the Fed is not going to ease QE and they'll pile back in."

Any sort of rush to gold like the one being described by the market expert could benefit the portfolios of those who purchase precious metals.

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