HSBC Bank reduces its expectations for gold prices for the current and next years
Lower the bank "HSBC" His forecast for the average price of gold for the years 2026 and 2027, attributing this to a shift towards a more stringent monetary policy in the United States, as well as the strength of The US dollar.
The bank lowered its expectations to an average of Gold prices for the current year to $4,560 per ounce from $4,864, and his expectations for 2027 to $4,925 from $5,000.
He indicated that the price of gold may range between $3,800 and $4,700 during the remainder of 2026, with the year ending at $4,750, while his expectations for the end of 2027 amounted to about $5,025.
The spot gold price was around $4,100 on Thursday by 07:30 GMT, down more than 20% from the record high of $5,594.82 it hit on January 29, as conflict in the Middle East raised concerns about inflation and prompted the Federal Reserve to adopt a tighter monetary policy.
The bank said "HSBC" In its report, the change in perception of US monetary policy and its impact on the dollar is among the main reasons behind the continuation of gold liquidation operations and the decline in prices.
The bank added that central bank purchases have declined after contributing to the rise in gold prices in recent years, although long-term diversification may support prices.
The bank expected that the large withdrawals of funds from exchange-traded funds witnessed in the first half of the year would be partially reversed in the second half.
Despite lowering expectations, it indicated "HSBC" He noted that downside risks may be limited given that a large portion of the market has already adjusted to the environment of a strong dollar and high interest rates.
He added that some of the factors that supported gold before the conflict in the Middle East, including concerns
