TechFlow News, March 31: Despite recent gold price sell-offs, Goldman Sachs maintains its bullish outlook on gold and forecasts a renewed upward trend by the end of 2026. Analysts Lina Thomas and Daan Struyven stated in their report that gold’s medium-term outlook remains solid. Supported by continued central bank gold purchases and an expected two U.S. interest rate cuts this year, gold prices could reach $5,400 per ounce. They noted that gold still faces “tactical downside risks” in the near term; should energy supply shocks further deteriorate, prices could fall to $3,800 per ounce.
Nevertheless, if an Iran-related conflict prompts countries to accelerate divestment from “traditional Western assets” and diversify their reserves, gold’s upside potential remains substantial. The report also indicated that concerns about certain central banks selling gold to support their domestic currencies are unlikely to materialize. Gulf states prefer intervening through U.S. Treasury bond sales instead. Assuming no additional private-sector investment, analysts expect medium-term price volatility to moderate, which would accelerate official-sector gold purchases again—averaging approximately 60 tonnes per month. (Jin10)
