The multinational investment bank, UBS has upgraded its 2020 gold forecast this week, signalling that the summer bull run which saw gold gain $200 in June, is by no means a lucky streak.
A UBS precious metals strategist announced a revision upwards of the 2020 gold forecast with a likely $1600 by the year end and beyond that into the New Year.
Joni Teves says she expects more of a push thanks to the participation of other investment sectors and an expected uptick in consumer demand. In a bulletin issued this week, she notes “Participation so far has largely been limited to institutional investors and the official sector. As gold gains further upward momentum, we think other areas in the market can become more active and support the next leg higher.
“The market has generally been prone to the ‘fear-of-missing-out’ (FOMO) this year, with many participants missing gold’s upswings,” she said. “Given potential upside catalysts in the coming months such as a dovish Fed and trade uncertainty, there is a risk that investors once again get left behind.”
If you’re a regular reader, you’ll know that UBS is just the latest in a series of respected organisations to come out in favour of gold with strong predictions for the next 24 months. If you’re considering gold investment, this is great news and offers a real impetus to buy now in order to get ahead of what experts say will be a sustained price increase.