TechFlow News, June 19: Goldman Sachs lowered its year-end gold price forecast by $500 per ounce, citing its revised expectation that the U.S. Federal Reserve will not cut interest rates in 2026. Analysts Lina Thomas and Daan Struyven stated in a report: “We have revised our December gold target price downward to $4,900 per ounce, implying that gold prices are still expected to rise in the second half of the year—but by less than previously anticipated. Our structural view on gold remains constructive, though we adopt a more cautious tactical stance, acknowledging near-term downside risks and medium-term upside risks.”
The analysts noted that the downgrade reflects Goldman Sachs economists’ postponement of U.S. rate-cut expectations—from December 2026 and March 2027—to June and December next year—alongside reduced forecasts for inflows into gold ETFs. Additionally, they added that concerns over central bank independence may be limited, given the “surprisingly hawkish” tone of the first Federal Reserve meeting under Chair Powell. (Jinshi)
