Gold Price Forecast: XAU/USD to settle back at around $1,875 on a three-month period – Standard Chartered
|Gold tends to deliver a positive return whenever there is short term stress in the financial system. Nonetheless, economists at Standard Chartered expect the yellow metal to turn back lower toward $1,875 over the coming months.
High probability of XAU/USD overshooting in the very short term
“Investor positioning remains far from extremes, suggesting it is unlikely to stand in the way of further gains. These suggest there is a reasonably high probability of XAU/USD overshooting in the very short term, especially if banking sector fears persist. Having said that, we are mindful that Gold helps mitigate volatility over relatively short time horizons.”
“Over a longer three-month period, we would not chase recent gains excessively and instead expect Gold to settle back at around $1,875.”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.