JPMorgan (JPM) Says Gold Could Push $2,500 by the End of 2011

After three straight days of a huge gold rally, the largest since 2008, JPMorgan (NYSE:JPM) said gold could go crazy and soar to as high as $2,500 an ounce by the end of 2011.

This of course is led by Obama and the Democrat refusing to do the responsible thing and cut back on government spending (along with some Republicans).

Gold has jumped recently to an all-time high of $1,779 an ounce. The $2,500 mark, if reached, would represent a new high when taking into consideration being adjusted for inflation.

Goldman Sachs (NYSE:GS) has also joined the gold chorus, saying they see it hitting $1,730 an ounce within 6 months and $1,900 an ounce in 12 months.

Keynesianism is in its death throes as the realization the failed economic theory of the government printing money to escape recessions is just that - a failed one. Socialism everywhere is on the run as the unsustainability of entitlement programs and excessive military spending is increasingly being made clear to a growing number of people.

Consequently, the reason gold is soaring is not only as a safety hedge and defense against inflation, but it's value and recognition as a viable currency is roaring back. Gold has also broken away from the impact of demand, from and industrial standpoint, no longer considered to be affected by the business cycle.

As expected, gold miners are trading up today, with Yamana Gold (NYSE:AUY) trading at $13.61, gaining $0.16, or 1.19 percent, as of 12:14 PM EDT. NovaGold (NYSE:NG) was at $9.30, up $0.26, or 2.88 percent. Eldorado Gold (NYSE:EGO) was trading at $18.08, gaining $0.20, or 1.12 percent. Newmont Mining (NYSE:NEM) was at $54.46, up $0.33, or 0.61 percent. Goldcorp was trading at $46.66, gaining $0.22, or 0.47 percent. Barrick Gold was at $46.62, jumping $0.48, or 1.04 percent.