Goldman Sachs Cuts Gold Target by $500 on Fed Rate Cut Delay
Goldman Sachs lowered its December gold target after Fed officials signaled possible hikes and reduced expected inflows into gold-backed exchange-traded funds.
- Goldman Sachs Group Inc. cut its year-end Gold forecast by $500 an ounce, citing the Federal Reserve's decision to delay interest rate reductions until next year.
- While the Federal Reserve kept interest rates unchanged this week, policymakers signaled growing support for potential hikes this year, altering Gold market expectations.
- Gold last traded below $4,135 an ounce, marking a third weekly decline after rallying to a record just below $5,600 an ounce in January.
- Analysts Lina Thomas and Daan Struyven lowered their year-end target to $4,900 an ounce, citing reduced inflows into Gold-backed exchange-traded funds after the Fed delayed rate cuts.
- Rob Kaplan, vice chairman at Goldman Sachs and former Dallas Fed president, told Bloomberg Television this week that the Fed may need to raise rates soon if inflation remains elevated.
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18 Articles
Goldman Cuts Gold Target To $4,900 As Markets Now See Two Fed Hikes - SPDR Gold Shares (ARCA:GLD)
Goldman Sachs lowered its gold price target to $4,900 per ounce by the end of 2026, citing delayed Fed cuts and growing market expectations for rate hikes through 2027.
For those investing in gold, the revised price expectations from Goldman Sachs analysts are a major blow. Analysts at the major American bank have lowered the price target for this year by no less than 500 dollars, nearly 10 percent. Due to revised interest rate expectations, the bank expects less growth in the price of the precious metal.
Cointelegraph
The New York LedgerGoldman Sachs Cuts Gold target by $500 on Fed Rate Cut Delay
Goldman Sachs slashed its year-end gold target by $500 an ounce, adding to analyst concerns that a delay in Federal Reserve rate cuts could weigh on bullion prices and broader risk assets, including cryptocurrencies, in the months ahead.
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