There has been a tremendous rise in the prices of gold this year. Gold prices have increased by nearly 61 percent year-to-date, making it one of the most profitable options for investors compared to stocks, bonds and other investment instruments. However, the market is now wondering whether this uptrend will continue or whether gold prices will fall.
analysts’ estimates
According to ANZ Bank, gold prices may fall drastically next year. Geopolitical tensions, economic uncertainty, weak dollar and possible interest rate cuts in the US are the main reasons for gold reaching record levels this year. Spot gold touched an all-time high of $4,225.69 an ounce and then rose 0.4 percent to $4,224.79. Whenever there is uncertainty or crisis in the global markets, investors increase their investment in gold as a safe haven. According to an ANZ report cited by Reuters, gold prices could reach $4,400 an ounce by the end of this year and then fall to around $4,600 by June 2026. However, prices are expected to drop significantly in the second half of next year.
advice for investors
According to the ANZ report, factors such as political instability, tariff disputes and geopolitical tensions will continue to attract investors towards gold. The report also estimates that silver prices could reach $57.50 an ounce by mid-2026. However, if the US Federal Reserve tightens its stance or the US economy performs better than expected, the opposite effect could occur and gold prices could fall.