This week, gold prices have continued to rise. On February 19th, gold prices surged further, with COMEX gold futures hitting a high of $2,957 per ounce, with an intraday gain of nearly 0.3%, while spot gold experienced slight fluctuations.
The previous day, on February 18th, both spot gold and COMEX gold futures saw gains of over 1%. Spot gold broke through 2,950 per ounce, just a step away from the historic high set last week.
According to a report by Securities Times on the 19th, on Monday (local time), Goldman Sachs significantly raised its gold price forecast from 3,100 per ounce, citing central bank purchases of gold and inflows into ETFs supported by bulls, highlighting Wall Street’s enthusiasm for gold.
Goldman Sachs expects that “the structural increase in global central bank demand will push gold prices up by 9% by the end of the year, and as fund rates decline, gold ETF holdings will gradually increase.” Goldman Sachs states that assuming a reduction in uncertainty, the boost from central bank demand should outweigh the drag from the normalization of investor positions.
Lina Thomas and Daan Struyven, analysts at Goldman Sachs, said in a report that global central bank demand for gold is expected to be 50 tons per month, up from the previous estimate of 41 tons per month. Goldman Sachs adds that if global central banks purchase an average of 70 tons of gold per month, gold prices could climb to $3,200 per ounce by the end of 2025.
Goldman Sachs also mentions that if policy uncertainty, including tariff concerns, remains high, gold prices could soar to 3,060 per ounce over the same period.
