Gold prices are set to rise to an all-time high next year on the back of low interest rates and looming recession fears that are raising its role as a safe-haven asset.
Some optimistic analysts expect gold to reach $2,500 an ounce by the end of 2024 – 26% higher than current levels.
David Neuhauser, founder of Livermore Partners, said: “My target is $2,500 an ounce by the end of 2024, and a lot of this is due to the fact that recessionary forces may take hold later this year and increase in 2024, as the price of gold will reach new highs. ».
Neuhauser said that he expects the continuation of stagflation in the global economy during the coming years, as inflation drops to between 3 and 5 percent.
“I see gold moving above $2,100 in late 2023, and early 2024 as a trading level,” said Bart Melek, managing director and global head of commodity strategy at TD Securities, attributing his optimism to a possible pause in the US Federal Reserve’s tightening cycle.
He added, “I am bullish on gold because I believe that the Fed will tend to tighten fiscally to reach the inflation target of 2%. And the Federal Reserve began raising interest rates since March 2022, when inflation rose to its highest level in 40 years, and interest rates reached between 5.25 to 5.5%.
2023-08-11 22:26:49
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