Wells Fargo Trims Gold Price Target for Third Time This Year

The Wells Fargo Investment Institute has reduced its gold price target for the third time this year. The new forecast sees gold trading between $4,900 and $5,100 per ounce by the end of 2026, down from a previous range of $5,300 to $5,500.

This downward revision reflects persistent pressure from the Federal Reserve's hawkish stance, elevated Treasury yields, and a stronger dollar. These factors raise the opportunity cost of holding non-yielding gold, making it less attractive to investors.

Eamonn Sheridan, an analyst at the institute, described the adjustment as a 'precision calibration' rather than a reversal of the firm's constructive view on precious metals.