Gold Price Forecast: XAU/USD has limited further upside potential – Commerzbank
The price of Gold has reached a new record high following the Fed's meeting perceived as dovish. Economists at Scotiabank analyze the yellow metal’s outlook.
Gold rise remains a mystery
Due to the lack of a convincing explanation for the rise in the value of Gold, we are sceptical that the precious metal will be able to maintain its gains in the short term, let alone extend them further.
However, it is unlikely that prices will fall back to the levels seen at the end of February as the Fed is expected to cut interest rates from June, which should support Gold.
Nevertheless, further upside potential is likely to be limited in the medium to long term. This is because a pronounced cycle of interest rate cuts in the US is unlikely, given the persistent risks of inflation.
We have recently ‘only’ raised our Gold price forecast for the end of this year and the end of next year from $2,100 to $2,200.
Reprinted from FXStreet，the copyright all reserved by the original author.
Disclaimer: The content above represents only the views of the author or guest. It does not represent any views or positions of FOLLOWME and does not mean that FOLLOWME agrees with its statement or description, nor does it constitute any investment advice. For all actions taken by visitors based on information provided by the FOLLOWME community, the community does not assume any form of liability unless otherwise expressly promised in writing.
FOLLOWME Trading Community Website: https://www.followme.com
Hot
No comment on record. Start new comment.