Analysts Lena Thomas and Dan Stroeven from Goldman Sachs predicted in a report published today that the target price for gold by year-end has been raised to $3,100 per ounce, which is an increase from last month’s forecast of $3,000, representing more than a 6.5% rise compared to the current price. Goldman Sachs estimates that demand for gold purchases from central banks could average 50 tons per month, which is higher than expected.
Goldman Sachs explained, “If uncertainty regarding economic policy continues, including tariffs imposed by the United States, speculative demand may increase, alongside rising gold purchases by central banks and inflows into exchange-traded funds (ETFs).” They added that “gold prices could reach $3,300 per ounce.” In this case, the rate of increase in gold prices this year would be 26%.
Gold prices have risen for seven consecutive weeks this year, following the sharp increase seen last year. The market attributes the rise in gold prices to increased gold purchases by central banks, consecutive interest rate cuts by the U.S. Federal Reserve, and growing investor concerns due to President Donald Trump’s recent tariff policies.
Gold is currently trading around $2,911 per ounce, up about 0.47% since the beginning of trading after surpassing $2,942 per ounce last week.
