The experts at JPMorgan have already been correct in their predictions about the price of gold in recent years. Now the bank is making another optimistic forecast: the shiny precious metal is once again the best raw material investment.
• JPMorgan with optimistic outlook for gold prices
• Past forecasts were spot on
• Various drivers identified
Advertising
Trade oil, gold, all raw materials with leverage (up to 20) via CFD (starting from €100)
Participate in price fluctuations in oil, gold and other raw materials with leverage and small spreads! With just 100 euros you can trade with leverage with the effect of 2,000 euros of capital.
Plus500: Please note the instructions5 about this advertisement.
The US investment bank JPMorgan has been optimistic about gold for years. Their forecasts for the past two years hit the mark and the experts are also confident for the new year 2025: “Gold still appears to be well positioned to hedge the increased uncertainties in the macro landscape that have come into the early stages of the Trump administration 2025,” Barron’s quotes from a note from Natasha Kaneva, head of global commodities strategy at the major US bank, and her team.
Gold in rally mode
The price of gold has been following a rapid upward movement for some time now. The current gold boom is reminiscent of the late 1970s, when persistent inflation dominated markets, Barron’s reminds. This year alone, the price of gold has climbed by around 29 percent to around 2,652 US dollars per ounce (as of December 16, 2024). In October, the price reached an all-time high of just under $2,790, but fell again after the election of Donald Trump as the next President of the USA. Because the US dollar benefited and rose, causing gold to fall. According to Kaneva, this post-election slump was merely “a positional misstep” and “not a fundamental change.” The correction now seems to be over again.
Bullish predictions for 2025
And so the raw materials experts remain confident. While the average price for silver’s big brother is expected to be around $2,950 in 2025, they even expect it to rise to $3,000 per ounce at times. This would put gold almost 13 percent above current levels. Bank of America is similarly positive. She advises investors to jump into gold if the price breaks below $2,500. Because they too see the shiny precious metal at $3,000 next year.
The JPMorgan experts identify the policies of the Trump administration and inflation as potential drivers – gold could serve as a hedge here, which is why central banks are likely to stock up on the shiny precious metal. Gold could emerge as a beneficiary “if US policy actually becomes even more disruptive (increased tariffs, rising trade tensions, stronger inflation, significant expansion of the budget deficit and increased risks to economic growth),” quotes Barron’s. In addition, JPMorgan is also speculating on a rapid decline in interest rates and the US dollar, because even then the price of gold would normally rise.
Editorial team finanzen.net
Selected leveraged products on Bank of America
With knock-outs, speculative investors can participate disproportionately in price movements. Simply select the leverage you want and we will show you suitable open-end products on Bank of America
The leverage must be between 2 and 20
Advertising