2024-01-06T04:45:53+00:00
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/ The expectations of investment banks and global financial institutions for the price of gold during 2024 ranged between 1950 and 2200 dollars per ounce, according to a detailed report published by Bloomberg.
Banks and institutions have unanimously agreed that the favorable conditions during the current year all support the prices of the yellow metal. The existing geopolitical risks and market expectations that the US Federal Reserve will begin reducing interest rates and the subsequent possibility of a decline in the value of the strong dollar and price inflation are all factors that favor the precious metal.
The following are the expectations of global financial institutions for the prospects for gold during the current year, monitored by Bloomberg:
Amundi
Gold can provide protection against geopolitical risks and, along with other commodities, can provide a hedge against inflation.
Bank of America
The Fed lowering interest rates would boost gold and lead to a restocking of industrial metals. The bank expected the price of gold to reach $1,975 per ounce in 2024.
BCA Research
Gold will continue to benefit from central banks buying more gold. The institution’s analysts said: “We are reluctant to sell gold. However, we believe that buying it is also risky, as it is expensive in real terms.”
C.I.T.I
We are still in a bull market for gold, and we expect record prices to average just under $2,050 per ounce.
D.W.S
Gold has its place in the portfolio as it reduces risk and also as a return generator, according to the bank. The target price for gold by the end of this year is $2,250 per ounce.
Invesco
“We recognize that given heightened geopolitical risks, gold may see periods of strong performance.”
JP Morgan
The Fed’s rate-cutting cycle and lower US real yields are expected to push gold prices to new levels in mid-2024, reaching an average of $2,175 per ounce by the fourth quarter.
Morgan Stanley
Gold price increases will be determined by geopolitical risks, and the bank expects that the price of an ounce may reach $2,019 during the current year.
Pictet Asset Management
Gold should be well supported by a weak dollar, peaking US interest rates, and ongoing geopolitical risks, but the upside appears limited given its relatively high valuation according to our models.
State Street
Gold, which usually outperforms in unstable markets, is likely to see an uptrend. We believe that increasing its portfolio allocation, or making it a priority, could benefit investors amid rising geopolitical risks, a weak dollar, and stubborn inflation.
on the securities
We believe that the combination of gold markets’ expectations in late 2023 and early 2020 that the Fed will step back from hawkish policy and aggressive central bank buying should push prices to $2,100 per ounce on a sustainable basis in 2024.
UPS
We expect gold to rise to a record high of $2,150 per ounce by the end of 2024 if potential cuts in US interest rates become a reality. However, in the short term, the opportunity costs associated with holding gold remain high, so we prefer to buy on dips.
UPS Wealth
Geopolitical uncertainty means investors need to prepare for the volatility ahead, in addition to diversifying. Investors can protect their portfolios against specific risks through capital preservation strategies, the use of alternatives, or through oil and gold positions.
Wells Fargo Investment Institute
As the economy slows further, commodity prices are likely to consolidate in early 2024, but we expect the rise to resume by the end of the year. We expect the price of gold to range between $2,100 and $2,200 per ounce.