Goldman Sachs raises gold price forecast for 2025

Gold bars

Goldman Sachs anticipates that gold prices may rise beyond its previous expectations this year, driven by sustained strong purchases from central banks and significant inflows into exchange-traded funds (ETFs).

The US investment bank has raised its year-end gold price forecast to $3,300 per ounce from $3,100 per ounce, with an expected trading range between $3,250 and $3,520 per ounce.

In a research report, Goldman Sachs noted that central banks, particularly in emerging markets, have increased their gold purchases nearly fivefold since 2022, following the freezing of Russian reserves. This marks a structural shift in reserve management behavior, which is unlikely to change in the near term.

Gold prices have already surged by around 15% this year, building on strong gains in 2024. In February, gold surpassed the key psychological threshold of $3,000 per ounce for the first time.