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Gold may need to fall to as low as $1050 an ounce to bring its valuation versus other commodities such as oil and copper back to historical averages, Deutsche Bank AG said.

Gold may have to trade at $1050 or $1500 for this to occur, Michael Lewis, an analyst at Deutsche Bank in London, said in a report dated today.

"In our view, what had been a reliable source of positive returns for the past 12 years has ended," he said. Gold for immediate delivery was at $1,394.04 an ounce at 11:49 a.m. in London.