Gold Forecast Morgan Stanley

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Gold Forecast Morgan Stanley

Gold To Touch $4500 By Mid 2026

Morgan Stanley has issued a bullish forecast for Gold during 2026. According to the bank, the yellow metal is likely to reach $4500 by mid-2026.

Overall, this is a bullish forecast for Gold and shows that the demand for the yellow metal will remain high in the next few months.

Lower Interest Rates Have Sent The Gold Prices Higher

If we look back, Gold has emerged as the winner ever since the central banks around the world started to lower their rates. On top of that, the geopolitical tensions and strong buying of Gold bullion from the central banks also pushed the prices higher.

If we look around, many other investment banks and analysts have also issued bullish forecasts. Some of the analysts think that Gold could go as high as $5000 in 2026.

The possible support levels for the Gold are seen near $4000 and then $3500. However, the yellow metal is unlikely to drop below $4K as the economic backdrop supports strong Gold prices.

The bank also highlighted that investors' behavior has shifted fundamentally recently. This can be confirmed by the Gold ETFs, which managed to reverse 4 years of strong selling.

As the interest rate falls, the demand for Gold will only continue to rise. On top of that, the consumption of gold in jewellery also shows signs of stabilizing, which is a good thing.

Another catalyst for Gold is that central banks continue to build their reserves. So, even the central banks are slowly building their reserves, which shows that the long-term direction remains bullish.

The beauty of Gold is that it protects from economic uncertainty as well as inflation risks. So, that's also something that goes in favor of Gold prices.

With all things considered, a target of $4500/ounce looks very reasonable for the Gold. If we talk about potential risks, the biggest one is that the central banks might start to reduce their reserves. However, the chances of that happening are very slim given the situation of the world.

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