Gold price rises, will it reach $3000?

[Zerologic]

Gold price has now reached $2706 extending the previous day's gains. It seems that positive gold sentiment amidst geopolitical risks and also hopes of the Fed cutting interest rates has further confirmed the unstoppable rise in gold prices. However, sometimes profit-taking can cause prices to rebound and this requires caution.

Giant global banks predict that gold will extend its price rise and break records again until 2025, supported by the rapid inflow of investor funds in gold exchange-traded funds (ETFs) and additional cuts in interest rates by central banks around the world. Several of the world's top banks even project the price of the yellow metal to exceed US$3,000 next year.

Meanwhile, the action of buying up gold by the central bank is still significant in the London over-the-counter market, which could encourage a 66% increase in gold prices which is predicted to reach $2,900 in early 2025.

 

[Zerologic]

Looking at today's gold price changes at Monday's market opening 21 October, the gold rose again to around $2625. Bullish sentiment in gold may also be triggered by the ongoing geopolitical risks in the Middle East. In addition, it may be due to the global central bank's demand for gold as reserves.

 

[Zerologic]

Yesterday the gold price reached a new ATH record of $2740 but fell again because profit-taking brought the gold price to a rebound to a low of $2713. Goldman Sachs even predicts that the price of gold in 2025 could reach $2973.

Compared to Platinum prices and Silver, gold prices are more likely to rise more stably in 2024, palladium prices tend to be stable at around $116, while Silver's high volatility tends to follow the movement of gold with a steeper chart pattern than gold.

According to World Bank data, global central bank demand in 2024 for gold will reach 289.7, higher than in 2023 which was 219.6.

Meanwhile, the first largest country purchasing gold in 2024Q1 is Turkey, then China, India, Kazakhstan, Czech Republic, Oman, Singapore, Kyrgyz Republic, Qatar and Poland

 

[Zerologic]

Yesterday's gold price declined to a low of $2708. The price reached a high of $2758 and became a new all-time high to date The decline in gold prices can be caused by profit-taking by traders amidst gold prices which are considered to have entered overbought levels. On the other hand, the strengthening of the Dollar Index which continues to weigh on other currencies is also the reason for gold's decline. Plus rising US Treasury yields. Ahead of the US election Gold prices are depreciating, but hopes that the Fed will cut interest rates next month could support gold in the long term.