Peter Schiff Warns Of Potential Market Crash, Small Cap Stocks See Major Investments And More: This Week In Economics
Gold market analysis: usa's GDP in the second quarter grew more than expected, and gold profits were given back with a deep correction.
Bank of China's Guangdong Provincial Branch's Wang Gang said that the latest data has strengthened confidence in the soft landing of the US economy, that is, the high interest rate set by the Federal Reserve can control inflation. Federal Reserve officials have clearly stated that they are prepared to begin cutting interest rates soon as inflation approaches the target level of 2%, with market widely anticipating a cut in September. However, recently, due to the significant rise in gold prices, investors may make some profit adjustments, which will exacerbate the selling pressure for gold. The rise in gold price is only a matter of time, and if PCE shows further decline in inflation or stoke investors' interest in continuing to hold gold long positions.
UBS Group: Gold is expected to reach $2,600 by the end of the year, and the target price for LME copper in the next 12 months is $0.012 million per ton.
UBS Group released a report on Wednesday, July 24, stating that the price of gold is expected to reach USD 2,600/ounce by the end of 2024 and USD 2,700/ounce by mid-2025, currently at USD 2,415/ounce. The target price for LME copper in the next 12 months is USD 0.012 million per ton.
Gold Market Analysis: Facing Important US Data Test, Gold Prices Remain Stable Near $2400.
Wang Gang, from Bank of China Guangdong Branch, said that this week, the market is awaiting the release of the second quarter GDP and June PCE data in the United States, but the performance of gold remains stable in the high range. This is mainly because the market is confident that the Fed will open the door to interest rate cuts in September, thus giving significant support to gold. Investors are looking forward to the data from Thursday and Friday to find clues for the Fed's interest rate cut path. If the data is not impressive, it will further solidify expectations of a Fed interest rate cut before September. This undoubtedly benefits the continued rise of gold.
Gold: Easy Come, Easy Go – Commerzbank
Goldman Sachs: For every 10% drop in gold price, physical gold demand in China rises 16%, and gold prices are expected to remain at 2700 next year.
Goldman Sachs believes that physical gold demand still dominates the Chinese market, and Chinese consumers may play a key role in pushing up gold prices. There is still more than 12% room for gold prices to rise next year, and expectations of a Fed rate cut and demand from central banks around the world will also help boost gold prices.