Gold Price Forecast: Metals Focus Sees $2,600 Per Ounce by Year-End

Metals Focus, a London-based precious metals research firm, is predicting that gold will reach $2,600 per ounce by the end of this year. This forecast comes as gold has held steady near $2,500 an ounce in August.

The firm's Managing Director, Philip Newman, pointed to weaker US economic data and scaled-back expectations for a Federal Reserve interest rate increase as key drivers behind his prediction. He also highlighted the return of tariff tensions between the US and Canada, as well as uncertainty ahead of the US midterm elections, which are likely to pressure the dollar and support gold.

Newman was even more bullish on silver, predicting that it could reach $90 per ounce by the end of this year, with a possibility of moving into triple digits in 2027. He attributed the trend towards higher prices for both metals to central bank purchases and exchange-traded fund (ETF) buying.

On the sidelines of the India Gold Conference in Goa, Newman noted that festival demand for gold was cautiously optimistic, but price volatility remains a headwind for buyers. He also observed a shift in how Indian consumers are buying gold, with smaller, lighter pieces and slightly lower purity jewellery becoming more popular as buyers try to keep purchases within budget.