Gold Price Forecast: XAUUSD to end the year at $1,900 despite strong rate hikes expectations – Commerzbank

Gold Price has risen significantly since the beginning of the year. Strategists at Commerzbank are revising their gold price forecast upwards and expect a price of $1,900 per troy ounce at the end of the year.

Gold Price to rise to $2,000 next year

“We expect a price level of $1,900 at the end of the year (previous forecast $1,800). This means that we do not expect any stronger price decline despite the pronounced rate hike expectations.” 

“Inflation is likely to remain at a higher level in the longer-term, which will have a dampening effect on real interest rates. Whether central banks are ready or willing to raise key interest rates far above inflation rates remains to be seen.”

“Weaker economic data are likely to raise doubts as to whether interest rates will actually be raised as much as is expected on the futures markets.” 

“For next year, we expect the price to rise to $2,000 per troy ounce (previously $1,900).”