Gold is attracting heavy bullish sentiments as its prices skyrocket in the charts this month in April 2024. The price of gold climbed nearly 18 points on Wednesday with a surge of 0.75% in 24 hours. The XAU/USD chart is brimming with historical highs as both retail and institutional investors flock toward it.
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The rush to invest in the precious metal is now at an all-time high due to the conflict in the Middle East. The tensions between Iran and Israel are brewing after the Islamic Republic launched drone missiles, which were intercepted by the Iron Dome. The development made the global equity markets uneasy which led to a sharp price correction. However, gold benefitted from the turmoil as it was considered a safe haven during conflicts.
$7,000 an Ounce For Gold Prices Possible Amid Latest Rush
Bloomberg’s Senior Commodity Strategist Mike McGlone had accurately predicted that gold prices could reach $2,300 in Q2 of 2024. The majority of his predictions for gold prices have turned accurate leading to the market believing in his estimates.
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McGlone forecasted that gold prices could also reach the $7,000 mark once it begins to attract heavy buying sentiments. Both institutional and retail investors are on an accumulating spree making the precious metal shoot up in price. In addition, Central Banks of developing countries are purchasing tonnes of gold worth billions in the reserves.
The Commodity Strategist predicted that gold prices could reach $7,000 sometime during the next year in 2025. He made the bold prediction in 2023 saying that the markets need to expect the return of Quantitative Easing (QE), which according to him favors gold prices more than the US dollar and the stock market.
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In conclusion, the next few months could be the most promising time for gold prices and could deliver stellar returns. Global development is positioned to put the precious metal in the driver’s seat of the world’s economy.