Gold Price Forecast: Hedging demand amidst market volatility to push XAUUSD higher – Deutsche Bank

Gold Price seems to have gone into a consolidation phase near $1,850. Economists at Deutsche Bank expect the yellow metal to maintain its safe-haven appeal and forecast XAUUSD at $2,100 in June 2023.

XAUUSD seen at $2,100 on a one-year view

“Rising real rates are a headwind for gold. However, we feel the market is already pricing in peak hawkishness in terms of the rates outlook.” 

“Gold’s hedging characteristics may also come to the fore. With market volatility likely to continue to be driven by concerns regarding inflation, recession and/or geopolitics, we feel gold should be well supported by investor demand.” 

“We forecast XAUUSD at $2,100 in June 2023.”