Wall Street experts predict positively about short-term gold prices

Mr. Rich Checkan - Chairman and CEO of Asset Strategies International - commented: "Gold prices will increase. The strong increase in gold and silver prices last Thursday and Friday was a very notable signal.

During thin trading sessions during the holidays, prices often fluctuate very strongly - in both increasing or decreasing directions. The direction of prices in such sessions is often a fairly accurate indicator of whether investors want to participate or withdraw from this market in the long term".

According to Mr. Checkan, price developments clearly show that investors are looking to stay in the market. The only concern is the possibility of the Federal Open Market Committee (FOMC) surprising the market by keeping interest rates unchanged or even raising interest rates at its meeting next week. If the FOMC shocks, the market could see a short-term sell-off of stocks and precious metals, he said.

Mr. Adam Button - Head of currency strategy at Forexlive.com - said that the data released on December 5, 2025 is clearly supportive of gold prices.

The University of Michigan (UofM) survey has some inflation expectations and the data has fallen quite strongly. The PCE report also shows that inflation is cooling down," he said.

Button said the figures help make market expectations of the Fed's interest rate policy more realistic.

Currently, the market has assessed the Fed cutting interest rates in December, along with two or three more cuts next year, a total of about four times. That is what the market is expecting. But there is also a story about what the Fed should do. In the context of the current politicization of the Fed, those two things sometimes do not match. Usually, the Fed does what it thinks is right," the expert said.

But the market is also concerned about the possibility of the Fed loosening too much, thereby inflating or causing instability. I think the latest data is enough to give the Fed a rate cut, or at least reassure. It shows that the Fed has more room to cut.

Button also said that the increase in silver prices is a sign that the precious metals market has reached the halfway point of the rally.

I think there are two factors going on with silver. One is the story of industrial demand - this seems very realistic. Two is the increasingly strong participation of individual investors. Small investors may have a stronger impact on silver prices than gold. That shows that we are in the second half of the "match" of increasing the price of precious metals. Private investors are often only heavily involved in the final stages," he said.

The market has not yet reached an end, but it is clear that it has passed the initial stage and is approaching the final stage.

Button said that is a reasonable position in the current market. No one anymore believes that this is the first stage of the precious metal price increase cycle. Private investors are continuously boosting their silver purchases - that is a positive signal.

When the trend has formed, prices can go very far. There are currently many factors converging for a strong "short squeeze" in the silver market. Investors have been talking about this for the past 20 years and now it seems like their time has come. This is truly the year of precious metals, he said.