Key facts
- Goldman Sachs lowered its year-end gold price forecast.
- The gold price forecast was cut by $500 per ounce.
- The new year-end gold price forecast is $4,900 per ounce.
- The revision is due to delayed Federal Reserve rate cuts.
- Federal Reserve rate cuts are now expected in 2026.
Goldman Sachs has revised its year-end gold price forecast downwards by $500 per ounce, establishing a new target of $4,900. This adjustment stems from the firm's updated expectation that the U.S. Federal Reserve will postpone interest rate cuts, with such reductions now anticipated not to occur until 2026. The revised forecast reflects a more cautious near-term outlook for gold prices. This change in projection is closely tied to anticipated shifts in U.S. monetary policy, specifically the timing of the Federal Reserve's decisions on interest rates. The firm's analysis suggests that the delay in rate cuts will have a direct impact on the attractiveness and valuation of gold as an investment asset. Consequently, the new target price of $4,900 per ounce represents Goldman Sachs' current assessment of the gold market's potential performance under these anticipated economic conditions.