Gold Prices May Revisit $4,000 Level Amid Lower Rate-Hike Expectations

International gold prices rose marginally on Thursday to settle at $4,165.29 per ounce, but HSBC's downward revision of its average gold price forecasts for 2026 and 2027 has sparked concerns about potential further pressure on the market in the near term.

The bank cut its targets to $4,490 and $4,825 per ounce respectively, citing elevated Treasury yields and a stronger dollar as key factors weighing on gold's performance.

However, HSBC also noted that lower rate-hike expectations following the release of U.S. August inflation data could provide support for gold, with spot prices potentially retesting the $4,000 level if central banks step back in to buy.