Analysts at HSBC have raised their forecast for the price of gold, predicting that the yellow metal will hit the $5,000-per-ounce level next year thanks to broad uncertainty.
Analysts at HSBC have raised their forecast for the price of gold, predicting that the yellow metal will hit the $5,000-per-ounce level next year thanks to broad uncertainty.
In a note, the brokerage said a tear higher in bullion will likely extend into the first half of 2026, as its safe-haven status is burnished by increased geopolitical risks and murkiness around U.S. economic policy. Rising public debt and threats to the independence of the Federal Reserve could further drive gold’s record run, they added.
In recent days, gold has received a boost from a host of factors, including the renewal of trade tensions between the U.S. and China and the resumption of interest rate cuts by the Fed. Russian incursions into the airspace of NATO countries and weakness in the U.S. dollar have acted to push up the precious metal as well.
"This is a powerfully bullish cocktail which to date has not been seriously challenged by the bearish argument for lower prices," the HSBC analysts wrote.