Gold prices could touch $8,900 by 2030: Report
What's the story
Gold is already in a long-term bull run and could hit price targets of $4,000-$5,000 in the medium term.
These are the predictions of investment and asset management company Incrementum's Gold We Trust Report 2025.
The report also states that in a more inflationary environment, gold prices could even reach as high as $8,900 by 2030.
Inflation impact
Price projections linked to inflation
The report from Incrementum ties the predicted price range of $4,800 to $8,900 mainly to future inflation trends.
It says, "The forecast corridor of $4,800 to $8,900 depends mainly on how inflationary the next five years will be."
The projection comes from a detailed analysis of factors like monetary policy and geopolitical dynamics that affect gold prices.
Market analysis
Ongoing bull market signals a new trend
The report emphasizes that the ongoing bull market for gold is not merely a phase but indicates the start of a new trend.
This change in the market dynamics calls for greater attention from investors.
However, it also cautions them to brace for possible corrections owing to gold's naturally volatile nature.
Market trends
Gold's recent performance
In recent months, gold has piqued interest owing to trade tensions. But after a sharp rise of 25% from January-April this year, the price has been on the decline.
The Incrementum report highlights that global markets and family offices only allocate 1% of their portfolios to gold and precious metals.
This makes it comparable to niche assets like art and antiques but far behind private equity, real estate, or cash.