Most banks expect gold's bull run to persist into 2025
Corrects date in dateline
Sept 30 (Reuters) -Major banks expect gold to extend its record-breaking price rally into 2025 because of a revival in large inflows to exchange-traded funds (ETFs) and expectations of additional interest rate cuts from prominent central banks around the world, including the U.S. Federal Reserve.
"We reiterate our long gold recommendation due to the gradual boost from lower global interest rates, structurally higher central bank demand and gold's hedging benefits against geopolitical, financial, and recessionary risks," Goldman Sachs said in a note.
Moderating but still significant central bank purchases on the London OTC market could drive about 2/3 of the expected rise of the gold price to $2,900 per ounce in early 2025. Meanwhile the gradual rise in exchange-traded fund flows following the Fed rate cuts are expected to drive the remaining 1/3 of price upside, analysts at Goldman Scahs said.
Non-yielding gold has gained nearly $577 an ounce, or over 28%, so far this year, putting it on track for its biggest annual rise since 2010 and positioning itself as one of the standout assets of 2024. The precious metal hit a record high of $2,685.42/oz last week and has notched record highs several times this year. GOL/
"Strong physical demand from China and central banks supported gold prices over the past two years, but investor flow, and retail-focused ETF builds in particular, continue to hold the key to a further sustained rally over the upcoming Fed cutting cycle," analysts at J.P. Morgan said in a note on Sep. 23.
The Fed began its easing cycle on Sep. 18 witha half-percentage-point rate cut, and forecast another 50 basis points of cuts by the end of this year and a full percentage point of cuts next year.
Zero-yielding bullion tends to be a preferred investment in a low interest rate environment and during geopolitical turmoil.
The Nov. 5 U.S. presidential election could also boost gold prices further as potential market volatility may drive investors towards safe-haven gold, analysts said.
The following is a list of the latest brokerage forecasts for 2024 and 2025 prices for gold (in $ per ounce):
Brokerage/Agency | Annual Price Forecasts | Price Targets | |
2024 | 2025 | ||
Commerzbank* | $2,600 | $2,600 | $2,600 for mid-2025 |
ANZ* | $2,394 | $2,805 | $2,900 by end-2025 |
Macquarie | $2,339 | $2,463 | Q1, 2025 peak of $2,600/oz, with potential for a spike towards $3,000/oz |
Goldman Sachs | $2,395 | $2,973 | $2,900 by early-2025 |
UBS | - | - | $2,700 by mid-2025 |
BofA | $2,365 | $2,750 | Scope for gold to hit $3,000/oz |
J.P. Morgan | $2,398 | $2,775 | $2,850 |
Citi Research | $2,360 | $2,875 | Baseline average price projections of $2,800-3,000/oz in 2025 |
*end-of-period forecasts
Reporting by Daksh Grover, Swati Verma and Anmol Choubey in Bengaluru; Editing by Paul Simao
Aloqador aktivlar
Eng oxirgi yangiliklar
Javobgarlikdan voz kechish: XM Group korxonalari har biri faqat ijro xizmatlarini koʻrsatadi va onlayn savdo platformamizdan foydalanish huquqini beradi, bu odamga veb-saytda yoki veb-sayt orqali mavjud boʻlgan kontentni koʻrish va/yoki undan foydalanishga ruxsat beradi hamda uni oʻzgartirishga moʻljallanmagan va uni oʻzgartirmaydi yoki kengaytirmaydi. Bunday kirish va foydalanish huquqi doimo quyidagilarga boʻysunadi: (i) Shartlar va qoidalar; (ii) Risklar haqida ogohlantirish; va (iii) Javobgarlikni toʻliq rad etish. Shuning uchun bunday kontent umumiy maʼlumot sifatida taqdim etiladi. Xususan, shuni esda tutingki, bizning onlayn savdo platformamiz mazmuni moliyaviy bozorlarda biror bitimni amalga oshirishga oid maslahat yoki taklif emas. Har qanday moliyaviy bozorda savdo qilish sizning kapitalingiz uchun jiddiy risk darajasini oʻz ichiga oladi.
Onlayn savdo platformamizda chop etilgan barcha materiallar faqat taʼlim/axborot maqsadlari uchun moʻljallangan va unda moliyaviy, investitsiya soligʻi yoki savdo maslahatlari va tavsiyalar; yoki bizning savdo narxlarimizning qaydlari; yoki har qanday moliyaviy vositalar bilan bitim tuzish maslahati yoki taklifi; yoki sizga kerak boʻlmagan moliyaviy reklama aksiyalari hisoblanmaydi
Har qanday uchinchi tomon kontenti, shuningdek XM tomonidan tayyorlangan kontent, masalan: fikrlar, yangiliklar, tadqiqotlar, tahlillar, narxlar va boshqa maʼlumotlar yoki bu veb-saytda joylashgan uchinchi tomon saytlariga havolalar umumiy bozor sharhi sifatida "boricha" taqdim etiladi va investitsiya maslahatini tashkil etmaydi. Har qanday kontent investitsiya tadqiqoti sifatida talqin qilinsa, siz bunday kontentni investitsiya tadqiqotlarining mustaqilligini ragʻbatlantirish uchun moʻljallangan qonun talablariga muvofiq moʻljallanmagan va tayyorlanmaganligini eʼtiborga olishingiz va qabul qilishingiz kerak, shuning uchun unga tegishli qonunlar va qoidalarga muvofiq marketing kommunikatsiyasi sifatida qaraladi. Mustaqil boʻlmagan investitsiya tadqiqoti va yuqoridagi maʼlumotlarga oid risk haqida ogohlantirishimizni oʻqib chiqqaningizga va tushunganingizga ishonch hosil qiling, unga bu yerdan kirish mumkin.
