Reuters: Wall Street cuts gold price forecast for first time in 11 quarters, central bank gold purchases still underpin long-term outlook

According to a Reuters survey, analysts have cut their gold price forecasts for the first time since the end of 2023. Twenty-nine analysts and traders project an average gold price of $4,509 per ounce in 2026, down from the $4,916 forecast three months ago; the 2027 average forecast has been lowered to $4,610 per ounce, from the earlier $5,100. Despite the downward gold price projections, the market widely holds that central banks’ continued gold purchases, geopolitical risks, and government debt pressures will still underpin gold’s long-term trajectory. Meanwhile, analysts have also trimmed their silver price forecasts, projecting a 2026 average of $72 per ounce, down from the prior $78. Furthermore, Commerzbank has once again cut its end-of-year gold target price to $4,500 per ounce, and lowered its silver target price to $67 per ounce. The bank argues that current market expectations for further Federal Reserve policy tightening are overblown; if inflationary pressures ease and the Fed keeps interest rates unchanged, gold is still poised to strengthen again in the future.