What do experts predict about gold prices after a week of hot growth?

10/29/2023 11:23 Nhat Linh Print article

ANTD.VN - World gold prices skyrocketed last weekend. Despite some cautious views, most experts and investors believe that the precious metal will continue to rise this week.

Last week, the domestic SJC gold price closed the week at around 70.15 - 70.95 million VND/tael. During the week, gold witnessed many alternating sessions of increase and decrease, increasing in the morning and decreasing in the afternoon. With the above price, SJC gold almost did not increase compared to the previous weekend.

Meanwhile, the price of 99.99 gold is more in line with the international market. PNJ gold closed the week at a record high price of 58.70 - 59.95 million VND/tael, an increase of about 650 thousand VND/tael compared to the previous weekend.

Gold prices continue to rise

Globally, spot gold was last traded at $2,005.6 an ounce, about $2 higher than the previous weekend. The precious metal surged at the end of the week due to investors' demand to hedge against the possibility that the situation in the Middle East could worsen when the market closed for the weekend.

Since the conflict broke out earlier this month, bullion has gained about 8%, or more than $140.

The latest Kitco News weekly gold survey shows that retail investors remain bullish on the precious metal for the week ahead, despite the strong rally over the weekend.

Of the 602 votes cast in the online poll of retail investors, 66% expect gold to rise next week; 21% predict lower prices, while 13% are neutral on the precious metal’s near-term outlook.

Analysts, meanwhile, are more cautious. Some experts say that even if tensions in the Middle East increase, gold is unlikely to rise too much further, because some of that may already be priced into gold at this point. While if the Fed keeps interest rates on hold or raises them slightly, that would be a “headwind” for the precious metals market.

Of the 11 Wall Street analysts who participated in the Kitco News Gold Survey, six, or 54%, expect to see higher gold prices next week, while three, or 27%, see lower prices and two, or 18%, are neutral.

The Federal Reserve's interest rate decision on Wednesday will be the main economic event next week, with 94.2% of markets expecting the central bank to keep rates on hold. Investors will also be paying close attention to monetary policy decisions from the Bank of England and the Bank of Japan.

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