According to Goldman Sachs, much of this price increase will be driven by higher demand from global central banks along with concerns about US fiscal sustainability and trade tensions/wars.
“We are maintaining our $3,000 forecast for December 2025,” said analysts led by Daan Struyven, Head of Commodity Research at Goldman Sachs. “The structural driver of our rising gold forecast is higher demand from central banks (based on our $2,640 forecast in November for the gold price by December 2025). adding 9 percent)” they evaluated.
Goldman Sachs said rising fears about inflation and financial risks could increase speculative positioning and stock market investment flows (ETFs), while concerns about US debt sustainability could push central banks, especially those with large US Treasury reserves, to buy more gold.
“While support from central bank demand has outweighed the impact from higher interest rates in late 2022-early 2023, we view potentially higher interest rates and a stronger dollar as the main downside risks to our bullish gold forecast,” Struyven said. .
Source: www.dunya.com
