UBS Investment Bank, through analyst Joni Teves, has significantly raised their gold price forecast to $3,100/oz by year-end 2025. While the fundamental narrative around gold hasn’t changed dramatically, the potential for upside growth has increased substantially.
Teves explains that investors are flocking to gold primarily due to the combination of slowing economic growth prospects and higher inflation expectations. She emphasizes that gold presents a compelling case as a portfolio diversifier in the current environment, which features multiple overlapping risks – from economic growth concerns to geopolitical tensions and inflation pressures.
This bullish outlook comes amid increased market interest in precious metals, with UBS also commenting on platinum and copper markets.