[ad_1]
Major banks are optimistic about the future of gold prices, expecting the record-breaking rally to continue into 2025. They attribute this positive outlook to factors such as increased inflows to exchange-traded funds (ETFs) and anticipated interest rate cuts by major central banks, including the U.S. Federal Reserve.
Physical demand from China and central banks has supported gold prices in recent years, with investor flows, especially through ETFs, playing a crucial role in sustaining the rally. Gold, a non-yielding asset, has surged over 27% this year, hitting multiple record highs. Analysts predict that the precious metal still has room to grow over the next year, fueled by factors such as renewed ETF inflows and the Fed’s easing cycle.
As the Fed embarks on its rate-cutting cycle, gold remains an attractive investment in a low-interest rate environment. The upcoming U.S. presidential election in November could also drive investors towards safe-haven assets like gold, in the face of potential market volatility.
Various brokerage forecasts project a positive outlook for gold prices in 2024 and 2025, with price targets ranging from $2,339 to $3,000 per ounce. Analysts foresee gold prices continuing to rise, supported by factors like increasing ETF inflows and geopolitical uncertainty.
[ad_2]
SOURCE
Emma Collins, graduated in Financial Economics from the University of Chicago in the USA in 2016. She has since worked at an asset management firm in New York, where she specializes in investment strategies and portfolio management. Emma has a keen interest in financial analysis and has published several articles in renowned financial journals. Her work focuses on providing actionable insights to investors, and she is known for her forward-thinking approach to managing financial portfolios.
