01.11.2025 14:51
The optimistic atmosphere surrounding the US-China trade talks and the fluctuations in gold prices have led major banks to update their price forecasts. Bank of America indicated that gold prices could rise to $5,000 by 2026, while Citi revised its precious metal forecasts downward. HSBC stated that gold could trade in the range of $3,700 to $4,050 by the end of the year.
```html
In global markets, gold has declined amid the optimistic atmosphere surrounding the US-China trade talks and the strengthening of the dollar, while leading banks have updated their price forecasts.
The gold market continues to be one of the most sought-after assets by investors throughout 2025, but recent developments have caused a change in direction. With the increase in positive signals from the trade talks between the US and China and the dollar regaining value, gold has fallen below the $4,000 level.
BANK OF AMERICA: $5,000 POSSIBLE IN 2026
Bank of America has revised its forecast for gold prices. The bank predicts an average of $3,800 per ounce for the last quarter of 2025, stating that prices could rise to $5,000 in 2026.
Experts indicate that the strengthening of the dollar due to signs of recovery in the US economy has temporarily slowed investors' shift towards gold, which is considered a safe haven.
CITI: GOLD AND SILVER FORECASTS LOWERED
Citi has also updated its precious metal forecasts downward in line with the changing dynamics in global markets. The bank has lowered its gold forecast from $4,000 per ounce to $3,800, and for silver from $55 to $42.
Citi analysts predict that the easing of the US trade policies could pressure gold demand in the short term.
HSBC: $3,700 – $4,050 RANGE BY YEAR-END
London-based HSBC announced that gold could trade in the range of $3,700 to $4,050 by the end of the year. The bank predicts that the price could decline to $3,800 by the end of 2026.
HSBC had forecasted an average of $2,683 for 2025 at the beginning of the year, but gold prices have averaged around $3,291 throughout the year.
Michael Lytle, director of wealth management at StoneX, described the recent situation as "a correction process where gains are being digested":
"Gold has risen by 25% over the past six weeks. A natural pullback is occurring after such a sharp rise."
BLACKROCK: COMMODITY MARKET STILL UNEXPLORED
BlackRock, one of the world's largest investment management companies, continues to generate profits with a high allocation to gold and copper in its portfolio. As of September 2025, the fund's allocation to gold was recorded at 37.3%, while copper's allocation was 20.6%.
Evy Hambro, one of the fund's managers, stated that increasing budget deficits and spending policies by governments are driving investors away from cash and bonds:
"Investors are turning to safe assets. This trend will not change unless governments ensure fiscal discipline."
Hambro also expressed that a broad commodity rally led by gold and copper could come back into focus. Reminding of the commodity boom driven by China in the early 2000s, he said, "The markets have not yet been fully explored."
```