Goldman Sachs predicts that by the end of 2026, the price of gold will rise significantly to $5,400 per ounce.

According to the latest analysis by Goldman Sachs, multiple market factors are converging, making it highly likely that gold prices will experience a historic rise over the next few years. Of particular note is a specific target price of $5,400 per ounce, which is attracting market attention as a forecast to be realized by the end of 2026.

Central Bank Gold Buying Boom Supports the Market

A major driver of rising gold prices is the active gold purchasing by central banks around the world. It is important that financial authorities in various countries are steadily increasing their gold holdings as part of diversification of foreign exchange reserves and inflation hedging. This trend is expected to continue and is believed to have a significant influence on market prices measured per ounce.

U.S. Federal Reserve Rate Cuts as a Tailwind

U.S. monetary policy also has a significant impact on the gold market. Expectations of rate cuts by the Federal Reserve are enhancing the appeal of holding gold. In a low-interest environment, interest income decreases, leading investors to shift funds into gold, which does not generate profits but maintains its value.

Private Investors Driving Gold Holdings Expansion

Against the backdrop of declining interest rates, individual and institutional investors are increasing their allocations to gold. Market analyses such as PANews indicate that inflows of funds into gold in the private sector are accelerating, exerting upward pressure on overall market prices. The growing interest in gold, which offers better inflation resistance compared to traditional assets like stocks and bonds, is a key factor.

Goldman Sachs Outlook for 2026

Combining these multiple factors, Goldman Sachs points out the possibility that gold could reach $5,400 per ounce by the end of 2026. If this forecast materializes, it would suggest further upward movement from current market levels and indicate a long-term trend reversal in the gold market.