Money and business

$3,000 per ounce.. These are the most prominent expectations of Wall Street banks for gold in 2025

As global economic volatility continues, gold is emerging as one of the safest assets for investors. Recent forecasts from major investment banks on Wall Street indicate that the price of an ounce may reach the $3,000 barrier by 2025, according to what was reported by the international website Kitco News.

Factors supporting the rise of gold

Positive expectations for gold prices are based on several main factors, the most prominent of which are:

  1. Expected monetary easing:
    Market analysts expect the US Federal Reserve to begin gradually lowering interest rates in 2025, which will increase gold’s attractiveness as a safe haven compared to the US dollar and other assets.

  2. Geopolitical tensions:
    Geopolitical conflicts in Europe and the Middle East, along with tensions between the United States and China, continue to significantly impact financial markets, pushing investors to gold as a safe investment haven.

  3. High investment demand:
    Reports indicate increased purchases of gold by global central banks, especially in China and India, to bolster their foreign reserves, which supports higher prices.
    Read also: Why are gold prices fluctuating so much now…and what are the expectations for the precious metal?

Wall Street banks’ forecasts for gold

Major investment banks, such as JP Morgan and Goldman Sachs, have issued optimistic forecasts for gold, as they estimate that the yellow metal may exceed $3,000 per ounce in 2025.

  • Goldman Sachs: The average price of gold is expected to reach $2,950 per ounce, compared to its previous expectation of breaching the $3,000 barrier if geopolitical tensions and the weakness of the dollar continue.
  • JP MorganThe bank believes that the expected economic slowdown will push investors to safe assets, pushing the price of gold to between $2,900 and $2,950 per ounce.
  • Citigroup: A more conservative forecast calls for a price between $2,800 and $3,000, based on expectations of low inflation and stable stock markets.

Potential headwinds for gold

Despite the optimistic expectations, some analysts warn of challenges that may limit gold’s rise, such as the possibility of the US economy recovering at a faster pace than expected, or the stability of global geopolitical conditions, which may reduce demand for the yellow metal.
Read also: Gold prices achieve a new jump with anticipation of US inflation data

Tips for gold investors

According to experts, investors are advised to closely monitor central bank decisions and market developments during the coming period. They also stress the need to diversify investment portfolios to reduce the risks associated with economic fluctuations.

Kitco News concluded: “While the world is witnessing a period of economic and geopolitical uncertainty, gold is emerging as one of the safest investment options. With optimistic expectations from Wall Street banks, the year 2025 may be a major turning point for the prices of the yellow metal, which makes continued monitoring of the gold markets This is extremely important for investors.”

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