Gold and btc
Gold prices are predicted to hit an all-time high in early 2025
In addition to rising geopolitical tensions, two other factors will help push gold prices further up. Those factors are lower interest rates (especially from the US Federal Reserve - Fed) and demand from central banks in emerging markets.
Goldman has raised its gold price forecast from $2,700/ounce to $2,900/ounce, up about 9% from current levels. Year-to-date, gold prices are up 29%.
âWe reiterate our long-term gold recommendation due to: gradual global interest rate declines, strong central bank demand and the hedging benefits of gold against geopolitical, financial and recession risks,â said Goldman Sachs expert Lina Thomas.
Goldman highlighted that central banks in emerging markets such as China are driving the strong gold price increase from 2022.
The bank estimates that institutional demand for the precious metal on the London OTC market has remained strong through July. Year-to-date purchases have averaged 730 tonnes, which represents about 15% of estimated annual global production.
In addition to lower interest rates and solid central bank demand, gold should be top of mind for investors given the many risks in the market today. These include the upcoming US presidential election, the possibility of a war between Israel and Iran, and economic uncertainty. due to a strike at a US East Coast port.
