Goldman Sachs reiterated its prediction this week that gold prices will reach $3,000 per ounce in the second quarter of 2026, due to the Fed’s interest rate cuts, continued central bank gold purchases and a gradual increase in gold ETF holdings.
According to Goldman Sachs analysts, heightened U.S. policy uncertainty, central bank and investor hedging demand provide support for the $3,000 gold price target.
In Wednesday’s (5 February) trading, the most active Nymex April gold futures broke through the key psychological price of $ 2,900 per ounce, hit another new record high. Although it soon fell back below $2,900, but analysts and retail investors are still optimistic about gold prices keeping rising to ATHs.
Citi analysts said on Thursday that gold prices will reach a record high of $3,000 an ounce within three months, fuelled by Trump-induced geopolitical tensions and trade wars pushing up demand for safe-haven assets.
Citi analysts, including Kenny Hu said Trump’s proposed tariff policies could slow economic growth, push up inflation and disrupt global trade. Therefore, investors will continue to look to safe-haven assets, and central banks are likely to continue to increase their gold reserves. A stronger dollar will increase the incentive for central banks in emerging economies to increase their gold holdings, and investors will turn to physical gold and exchange-traded funds (ETFs), the report said.
Gold prices have hit record highs in the past few sessions since Trump announced tariffs on exports from Canada, Mexico and China, confirming the precious metal’s role as a store of value in times of uncertainty.
Prior to this, Citi set a three-month gold price target of $2,800. Now, Citi analysts have raised this target to $3,000, while leaving their 6-12 month $3,000/oz target unchanged, and the annual average price target has been raised by $100 to $2,900/oz.
According to Citi analysts, the key factors of a peace deal between Russia and Ukraine and whether gold will be exempted from broader tariffs could provide investors with an opportunity to buy precious metals over the next two to three months.
