Gold Enters New Phase of Bullish Momentum
Goldman Sachs has significantly raised its gold price forecast for December 2026 to $5,400 per ounce—an increase of $500 from its prior estimate—highlighting growing confidence in the metal's long-term trajectory amid shifting global economic dynamics.
Dual Demand Drivers Fueling the Rally
The upward revision is backed by sustained and aggressive central bank buying, particularly from emerging economies diversifying their foreign reserves. At the same time, exchange-traded funds (ETFs) are seeing renewed inflows, signaling rising institutional and retail interest in gold as both a hedge against inflation and a safe-haven asset.
- Central bank gold purchases remain strong for the third consecutive year
- Geopolitical tensions are amplifying safe-haven demand
- Real interest rates continue to favor non-yielding assets
- De-dollarization efforts are boosting strategic gold accumulation
A Structural Shift in Global Asset Allocation
Analysts at Goldman suggest that gold is evolving beyond a traditional hedge into a core strategic asset amid growing financial system reconfiguration. With global debt burdens rising and currency instability increasing, gold’s role in portfolio resilience is expected to drive further price gains through 2026.