BofA raises gold price forecasts for 2025 and 2026

Bank of America (BofA) has adjusted its forecasts for the average price of gold for 2025 and 2026. Analysts of the financial organization focus on the fact that the uncertainty caused by the US tariff measures will continue to positively influence the prices of the yellow metal in the near future.

According to the bank's updated estimates, gold will trade at $3,063 per ounce in 2025 and $3,350 per ounce in 2026. These figures are higher than the previous forecasts of $2,750 and $2,625 per ounce, respectively.

A 10% rebound in investment demand could push precious metal prices to $3,500 an ounce in the next two years, BofA says. Currently, about 10% of the world's central bank reserves are held in gold. As noted by the company's analysts, the increase of this ratio up to 30% could provide strong support for the asset.

Nevertheless, BofA points to a number of risks that could put pressure on the price of the precious metal. These include the weakening of geopolitical tensions and fiscal consolidation in the United States.