With the asset’s performance certainly on the decline since the start of the year, JP Morgan has recently predicted the future gold price. Indeed, the investment firm is still bullish on the value of the metal as we continue through 2024. Specifically, they expect a new all-time high to be in the cards for the next few months.
The price of gold reached an all-time high in the middle of December. Trading at $2135, many expected that ascension to continue into the new year. However, just one month in the asset is currently trading at $2025, and fighting to achieve some semblance of momentum.
JP Morgan Predicts Continued Growth in Gold Price Throughout 2024
Throughout 2023, gold had seen a rather impressive ascendence in the overall asset investment market. The haven asset had plenty of geopolitical and economic developments that fed its rather surprising growth. From vast central bank acquisition to recessionary concerns.
However, that status has not continued into the new year. With the asset down far from its all-time high set in December, many are concerned about its performance this year. However, JP Morgan has recently published a report on the future gold price. There, it embraced a bullish position on the metal’s performance.
In that report, JP Morgan stated its expectations that gold prices would dip before reaching new heights. Specifically, it forecasted a continued surge to the $2300 level at the concluding months of this year. Ultimately, the firm identified red cuts and falling US real yields as the driving factors in its growth.
The set will find its first real test this week. Indeed, the Federal Reserve is set to meet Wednesday to discuss interest rates. Many are expecting them to stay the same, with rate cuts prolonged till after March. The biggest question for gold lies in how it can be maintained before those cuts begin to come into effect.