Commerzbank Cuts Gold Price Forecast Amid Inflation Pressures

Commerzbank analysts led by Thu Lan Nguyen have reduced their gold price forecast for the second time in two months. According to a report, gold prices are struggling to maintain support above $4,000 and may experience additional selling pressure.

The bank's revised forecast projects gold will end the year near $4,500 per ounce, down from its previous estimate of $4,800. Nguyen stated that the downward revision reflects ongoing inflation pressures that are compelling the Federal Reserve to keep a tightening bias.

However, market expectations have become overly aggressive, which could allow gold to recover from its current lows by the end of the year. Nguyen also indicated that gold could reach $5,000 per ounce in 2027 if inflation pressures ease.