Gold crossed the $3,600 mark on Monday—the second milestone it has hit this month.
The new benchmark came less than a week after the yellow metal soared past $3,500. And for a moment Tuesday, it looked as if gold might zoom past the $3,700 mark as well. But after its spot price hit $3,673, it headed back down again. At press time, bullion’s spot price was $3,637 an ounce.
Even so, the metal’s continued momentum is making some believe it may soon reach $4,000. That may be hard for some to believe—given that gold first crossed $3,500 six months ago—but even conservative forecasters like J.P. Morgan and Goldman Sachs are now saying that’s increasingly likely.
Natasha Kaneva, head of global commodities strategy at J.P. Morgan, recently wrote that $4,000 gold is “in the cards … particularly now with recession probabilities and ongoing trade and tariff risks.”
In a note quoted by Yahoo Finance, Goldman Sachs analysts called gold “our highest-conviction long recommendation” and warned that the metal could hit $5,000 if President Trump undermines the independence of the Federal Reserve.
Overall, gold has risen over 35% since Jan. 1, leading UBS to call it “the best-performing major asset class this year.” The bank said gold’s current “rally partly reflects rising confidence that the Federal Reserve will begin cutting rates at its September meeting after a long hiatus.”
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