Why gold may rebound 13% this year – and what could hold it back
Metal’s upside rests on central-bank demand and easing oil shock, but higher yields and AI spending may temper recovery, money managers say
Gold prices may rise at least 13 per cent by year-end in a reversal of recent sell-offs, as diversification demand from central banks remains intact and hopes for a diplomatic solution to Middle East tensions dial back inflation expectations, according to some money managers.
German asset-management firm DWS forecast bullion reaching US$5,400 by mid-2027.
Spot gold traded at US$4,199.11 on Friday, down more than 20 per cent from a record high in January, marking a sharp reversal from a bull run that lifted prices 65 per cent in 2025.
“Despite the near-term weakness, we remain constructive on gold in the medium term,” said Alexandra Symeonidi, an analyst at William Blair Investment Management. “We saw central banks returning to net buyers in April. While the debasement trade has cooled this year, its catalysts are still present.”