Goldman Sachs has raised its year-end gold target to $3,100 per ounce, citing central-bank demand and inflows into bullion-backed exchange-traded funds (ETFs). The bank’s analysts predict that central banks will purchase around 50 tons of gold per month, a significant increase from previous expectations. This increased demand is expected to support the price of gold.
However, Goldman Sachs warns that uncertainty over tariffs and economic policy could lead to higher prices, potentially reaching $3,300 an ounce. This would imply an annual gain of 26% for the precious metal. The bank’s enthusiasm for gold suggests a strong investor appetite for the metal, driven by central-bank buying and speculation about future price movements.
Source: https://www.bloomberg.com/news/articles/2025-02-18/goldman-raises-gold-target-to-3-100-on-central-bank-appetite