Goldman Sachs Increases Gold Price Target For 2025 End: Report

Investment bank and financial services company, Goldman Sachs, increased its 2025 year-end gold price forecast to $3,700 (approximately Rs 3.18 lakh) per ounce. The new target is $400 (around Rs 34 thousand) higher than the previous target of $3,300 (around Rs 2.84 lakh) target.

The bank now expects prices to enter a range of $3,650 (around Rs 3.14 lakh) to $3,950 (approximately Rs 3.40 lakh), driven by strong demand from central banks and interest from investors via exchange-traded funds (ETFs).

Gold prices could reach up to $4,500 per ounce in an extreme risk case by the end of 2025, the financial company added.

"If a recession occurs, ETF inflows could accelerate further and lift gold prices to $3,880 per troy ounce (toz) by year-end," the bank said in a note issued Friday. "That said, if growth surprises to the upside on reduced policy uncertainty, ETF flows would likely revert to our rates-based predictions, with year-end prices closer to $3,550/toz."

In India, gold prices reached an all-time high with 24-carat gold at Rs 93,350 per 10 grams. Taking into account the 3 per cent Goods and Services Tax (GST), the total retail price has now crossed Rs 96,000.

On Friday, gold futures rallied to an all-time high of Rs 93,940 per 10 grams on the Multi Commodity Exchange (MCX) on the back of strong demand due to global geopolitical concerns. The MCX Gold June 5 contract was trading at Rs 93,285 per 10 grams at the time of writing this report.

So far this year, gold prices in India have surged nearly 20 per cent, which is equivalent to a jump of over Rs 16,000 per 10 grams.

Gold prices dipped on Monday, April 14, after jumping to a new record high earlier in the session, as fears over a trade battle between the U.S. and China eased after the former temporarily backed down from implementing tariffs on a number of vital tech products.

The retreat in bullion followed an announcement by U.S. President Donald Trump that smartphones and computers would be temporarily left out of his administration’s “reciprocal” tariff regime.

Spot gold dropped 0.1 per cent to $3,232.45 an ounce by 0329 GMT, after hitting a fresh all-time high of $3,245.42 earlier in the session. Gold futures in the United States inched 0.1 per cent higher to $3,248.20.

The latest change in sentiment came after the White House’s decision to take a softer line on tech-related tariffs late last week. The exemption provided for a small bounce in risk appetite, dropping the bid for traditional shelter types such as gold..

“Softer US dollar has been assisting gold, but news of tech product tariff exemptions lifted risk appetite and caused safe-haven demand to ease. This has caused gold to lack clear direction,” Tim Waterer, chief market analyst at KCM Trade.

Though the Department of Commerce had made that temporary exemption, Trump doubled down on Sunday, saying the tariff exemptions probably wouldn’t last long, a message that is keeping markets on edge.