Deutsche Bank (NYSE:DB) Sees Gold Rally

Michael Lewis, head of commodities research at Deutsche Bank AG (NYSE:DB), said today gold prices could surge another 36 percent beyond its all-time high of $1,249.70 in May.

One of the catalysts Lewis sees adding to the already bullish gold conditions is Asian central banks buying gold for the first time in two decades.

Lewis said, “Prices can still go up a lot further from here. We have new sources of demand with central banks and ETF flows still very strong.”

Gold could reach as high as $1,700 an ounce within the next year, according to the analyst, saying the debt and budget deficits around the globe are continuing to weaken paper currencies.

Gold hit $1,218 an ounce, a $10.20 an ounce increase as of 3:40 PM EDT on Friday.