Positive forecasting analysts
Although gold price shows signs of increasing too fast, some experts say that investors still think that this trend continues to last. After holding the important support threshold at 2,800 USD/ounce on Monday, the market has continuously summarized the historical peak of the week.
Disappointed economic data published on Friday showed that the psychology of US consumer decreased sharply and fearing inflation increased, pushing gold prices exceeding US $ 2,900/ounce in a short time. Although the price later dropped slightly compared to the high level in the session, the gold still ended the week with a firm increase.
Alex Kupsikevich - Head of Market Analysis at FXPro - said that the gain momentum of gold has just begun and the goal of 3,000 USD is only the beginning.
“Global gain momentum starts in October 2023 after the US Federal Reserve (Fed) signals to loosen monetary policy and reduce interest rates. From October to November, 2024, after increasing by 55% to 2,790 USD/ounce, Gold experienced a strong profit profit, pulling the price dropped to 2,550 USD/ounce, corresponding to the adjustment of 76.4% compared to the level of The previous rise.
After a few weeks of struggling between the buying side and the seller, the stable buying momentum returned at the end of December. The gold surpassing 2,800 USD/ounce in late January 2025 opened expectations of a new wave of growth. If this trend continues, gold price can reach US $ 3,400/ounce from August to October this year ” - he said.
Sharing the same view, Jesse Colombo - an independent metal analyst and was the founder of Bubblebubble report - said that the recent increase showed that gold still had great potential.
Meanwhile, Ole Hansen - Head of the commodity strategy at Saxo Bank - also noticed the strong momentum of gold.
“It seems that every road leads to $ 3,000 now, which makes me a little worried because I am afraid that I have missed something. But now, the rising momentum and the general instability of the market can continue to support gold prices ” - he said.
Inflation and geopolitical instability continue to support gold prices
In addition to economic instability and geopolitical, some experts also warn the investor that the gold market can witness a strong fluctuation when the price of transactions is in a record area, especially in the expected Fed context. Keep the interest rate at least the first half of this year.
Data published on Friday showed that the US economy created 143,000 jobs last month. Although this figure is lower than expected, the report also shows that the salary increases stronger than expected and the unemployment rate decreases to 4.0%.
Preliminary data from the University of Michigan showed a sharp decrease in consumer belief, while the expectation of inflation in the next year increased by 1 percentage point to 4.3%.
In the first monetary policy meeting of the year, the Fed confirmed that the interest rate was not rushed because the inflationary pressure was still high and the labor market was still healthy.
Naeem Aslam - Investment Director at Zaye Capital Markets - forecasting gold price will continue to increase as fearing inflation continues to increase.
“The fact is that the salary growth shows that the Fed's fight against inflation has not ended, and gold is the perfect protection asset. This is strong support for gold prices.
In addition, US President Donald Trump's taxation plan is still being considered, and many believe that within the next month, there is no specific solution. Therefore, the motivation to increase the price of gold is still very strong and is likely to continue pushing the price high ” - he said.
