BofA Sees Gold at $3,000 by End of 2025

Gold prices have slowed due to a stronger US dollar and higher interest rates, limiting central bank purchases. Geopolitical risks remain, supporting gold's long-term outlook, with a predicted price of $3,000 per ounce by the end of 2025. The US dollar's strength and central bank liquidity are key factors influencing gold prices, with a potential weakening of the dollar leading to increased gold purchases.

Gold Price Slowdown

• 00:00:00 The recent rise in the US dollar and interest rates has slowed the increase in gold prices. Central banks, major gold buyers in recent years, have been constrained by the need to defend their currencies and limited liquidity. This has led to a slowdown in gold price increases, despite ongoing geopolitical risks.

Gold Price Outlook

• 00:01:16 Despite the current slowdown, the speaker predicts that gold prices will reach $3,000 per ounce by the end of 2025. This prediction is based on the expectation that the US dollar will weaken and central banks will have more liquidity to purchase gold. The divergence between US and European interest rates also plays a role in this outlook, with potentially lower rates in Europe potentially spurring more gold purchases.