Goldman Sachs raises 12-month gold price forecast to $2,000

Omkar Godbole FXStreet Contributor

Analysts at Goldman Sachs have raised their 12-month price forecast to $2,000 per ounce from the previous estimate of $1,800.

The investment bank is of the opinion that a combination of above-2% US inflation and muted policy response is needed to lift the yellow metal above $2,000. The Federal Reserve is targetting 2% inflation and has pledged to keep rates near record lows until the goal is achieved.

Goldman has also raised the three-month and six-month price forecasts to $1,800 and $1,900, respectively, from the previous projection of $$1,600 and $1,650.

Gold is currently trading at $1,726, representing a 13% gain on a year-to-date basis.

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

GBP/USD regains 1.3450 as USD shrugs off Iran risks

EUR/USD inches higher to near 1.1450 despite Mideast tensions

Gold flat lines around $4,000; bearish bias remains as inflation fears lift Fed hike bets

Ethereum remains fragile underneath the surface despite outperformance

Ethereum's outperformance over the past week shows it's gaining relative strength against other top cryptocurrencies, but under the surface, key metrics indicate its rise remains fragile. Between last week and Wednesday, ETH recorded double-digit gains, outperforming fellow crypto majors Bitcoin, XRP, and Solana, before the broader market began to correct on Thursday.

Cardano holds steady as Van Rossem hard fork goes live

Cardano (ADA) stalls at $0.165 after a modest rebound in the previous week. The activation of the Van Rossem hard fork on Saturday marked Cardano’s first protocol upgrade approved entirely through onchain governance, which introduced Protocol Version 11 with improvements aimed at reducing smart contract costs.

-0.4%: Why the biggest CPI drop since 2020 couldn't buy back a single cut

The June CPI fell 0.4% on the month, the largest one-month decline since April 2020, dragging the annual rate to 3.5% from May's 4.2% and snapping a three-month acceleration streak. Core prices went nowhere, flat on the month and down to 2.6% YoY, both under consensus.