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Central Banks Will Fuel Gold to $2,000 This Year Says Kilburg

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It was a prospect that was as hoped for as it was feared: a coordinated global effort by the world's central banks to rescue Europe and save the world. The Armageddon play. The Hail Mary. The desperate measures turned to in the world's time of economic crisis.

Alas Thursday's events suggest there is no coordination between nations. First, China both raised and lowered rates. Then, Fed Chairman Ben Bernanke went to Capitol Hill and said exactly what he's been saying during his entire tenure: The Fed is ready to act; we're vigilant. We'd like a fiscal policy, please.

Jeff Kilburg, managing partner at Kilburg Capital, thinks Bernanke is merely holding his fire. "Just like Dirty Harry in Magnum Force," Kilburg offers, "I think Bernanke has one more bullet left in the chamber." Or perhaps not. Either way, Chairman Ben is keeping his powder dry and "taking it in" as other banks get crazy.

Kilburg says the Fed is going to move, likely, in tandem with others. When that day comes there's one asset that's going to blind all the others. Go ahead and guess what it is. "Coordinated Central action is going to put a price in gold," he all but shouts. "In the big picture gold is going higher."The 12-year bull is going to continue, driven by central bank purchases, currency destruction, and the general momentum of a bull market already 12 years old. Kilburg's looking to play gold in almost every way imaginable. He likes the miners, the Market Vectors Gold Miners ETF (GDX), the Market Vectors Junior Gold Miners ETF (GDXJ), and silver. Yes, silver.

Keeping it simple, Kilburg suggests buying gold here, now, and all the way down to $1,523, which he calls "Killer support." As you may recall, Kilburg isn't the only Breakout guest looking to market that level. Suffice it to say, $1,525 matters.

His branding done, Kilburg lets you know exactly why you should care: "I see gold at $2,000—yes, $2,000—by this fall."

Ladies and gentlemen, place your bets.

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