Deutsche Bank raised its gold price forecast for 2024 to $2,400 per ounce, and expected the price of gold to rise to $2,600 per ounce by the end of 2025.
As for the American Citibank, it expected the price of gold to reach $3,000 per ounce in the period from 6 to 18 months, and for gold to break the $2,500 per ounce level during the second half of 2024.
In contrast, the American Goldman Sachs institution revised its expectations for gold prices during the past week, and indicated raising its expectations for gold during the year 2024 to $2,700 per ounce, compared to previous expectations of $2,300 per ounce.
Australian financial giant ANZ has raised its gold price forecast for this year, now expecting the price of gold to reach $2,500 per ounce.
In mid-March, the American financial institution JP Morgan expected that the global price of gold would reach $2,500 per ounce in 2024.
Bank of America expects the average price of gold to reach $2,500 per ounce by the fourth quarter of 2024, and for gold to rise to $3,000 per ounce by 2025.
Taking into account the disparity between financial institutions’ expectations for gold prices in 2024, we find that their average expectations are approximately $2,500 per ounce, which means that expectations of further increases in global gold prices will continue during the coming period.
All financial institutions have made these forecasts despite the current strength in the US dollar levels, which are trading at their highest levels in 5 and a half months according to the dollar index, in addition to the high US government bond yields at their highest level in 5 months, amid expectations that the US Federal Reserve is on its way to keeping interest rates high for a longer period of time, which represents negative pressure on gold prices.
Strong demand for gold as a safe haven amid current geopolitical uncertainty, coupled with expectations that global central banks will continue to increase their gold reserves, is the main driver for institutions to expect further gains in gold prices during the remainder of 2024.
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