“The common argument we hear from gold participants is that gold is currently benefitting from a fear trade on Brexit, and that may indeed be the case,” Credit Suisse said in a report late Wednesday. “But we think this recent fear trade leads to something more enduring as the surprise Brexit vote has solidified and intensified macro and political uncertainty and extended the time frame for a negative real rate environment in the U.S. and potentially abroad.”

Now, the bank sees gold averaging $1,475 in the fourth quarter and $1,500 in the first quarter of next year. Still other supportive influences include continued central-bank diversification into gold and uncertainty ahead of the November presidential election. Credit Suisse forecast gold supply deficits for this year and next, projecting increased demand from exchange-traded funds and hoarding of bars and coins.

“Meanwhile, we continue to expect mine supply to decline over the next three years,” Credit Suisse said.

Gold To Touch $1,500/Oz By Early 2017, says Credit Suisse