The gold price is showing slight signs of volatility. The asset briefly skipped to $4800 before bouncing back to the $4900 price level, exuding a bullish stance. In addition to this, UBS, a leading financial institution, has set a new short-term price target for gold, claiming how the asset is on the verge of hitting $6200. But when?
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UBS Gold Target Of $6200
Gold price has been rapidly surging, leading multiple financial institutions to adjust their forecasts per the asset’s pace. UBS is the latest bank in this league to forecast a new price target for gold, setting $6200 as its new target.
According to Dominic Schnider, Head of Commodities & APAC Forex CIO at UBS Wealth Management, precious metals are on the verge of rallying soon. Schnider added how these metals may bank on the current safe haven demand, with gold hitting $6200 latest by June 2026.
“Precious metals prices, while volatile, rose in January as political, geopolitical, and economic uncertainties drove ‘safe-haven’ demand.”
In addition to this, the expert claimed how copper and shortages could also shake the world, leading to a holistic metal domain rally.
“We see gold resuming its climb, rising as high as USD 6,200/oz by mid-year, supported by central bank and investor demand, large fiscal deficits, lower real US interest rates, and geopolitical risks. We project further supply shortages for copper and aluminum that should support prices over the medium term, while structural drivers (e.g., electrification) underpin long-term demand.” Schnider added.
Gold True Forecast: Long Range
According to Rashad Hajiyev, a leading gold expert, the gold price is aiming for a long shot, eyeing the $8K mark in the long run.
“I expect the gold-to-silver ratio (GTS) to test the 30 level in 3-4 months and the 20 level next year. My gold target is $7 – $8k, & GTS 30 suggests giving or taking $250 silver price…”
Portfolio Suggestions by UBS
The Kitco article later suggested tips shared by UBS Schnider, stating how allocation towards copper and aluminum may also appear lucrative in the long run.
“For investors with an affinity for gold, we believe a modest allocation can enhance diversification and buffer against systemic risks. For investors with substantial allocations and significant unrealized profits in gold, broadening commodity exposure to include copper, aluminum, and agricultural assets can help diversify sources of future return in our view.”
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