Gold's Slump May Be Far From Over

Investing.com - Gold prices have been hitting new lows for the year, and some analysts say get used to it.The precious metal staged several modest rallies above the $1,350 an ounce level during the first few months of the year. Since mid-April, however, gold has been on a steady decline, falling below $1,300.Gold, and silver for that matter, are trapped in a "bear super cycle," according to the Wells Fargo (NYSE:WFC) Investment Institute. That cycle began in mid 2011, when gold peaked at more than $1,900, and is likely to last another five years, the firms says. Analysts say the fundamental force driving down prices is excess supply, which can takes a decade to erase.(graphic: Title: Forces Undermining Gold: Strong Dollar, Higher Interest RatesMarket forces are also playing a role. The strong dollar and rising interest rates have made gold's return less attractive, say analysts, and that's unlikely to change anytime soon.Gold is now much closer to the high end of Wells Fargo's bear market range than the low end, which means there's more room for pain than there is for gain.