Fund managers: Gold to hit record highs in 2 years — SkimNews
Get the Finance newsletter
Daily finance — markets, central banks, M&A, the prints that move money. Free.
- Investors and industry executives expect gold to reach fresh record highs within 24 months, citing central bank purchases, US government debt concerns, geopolitical tensions, and dollar dominance as demand drivers, per the Financial Times.
- Gold prices fell 2% to $4,075 per troy ounce on Wednesday amid expectations the US Federal Reserve could raise interest rates again.
- Central banks purchased roughly 63 tonnes of gold in September — the highest monthly level since November 2024 — according to provisional data from the World Gold Council compiled using central bank and IMF figures.
- Charlotte Yonge of Troy Asset Management told the FT's Precious Metals Symposium that gold could reach a new record within 12 to 18 months, citing rising US debt and the risk of money-supply expansion during a future recession.
- Paul Carne of Aon Investments said gold could benefit if governments and financial institutions move away from the dollar, pointing to US use of the currency as a geopolitical instrument.
- Ian Cockerill, CEO of Endeavour Mining, suggested $4,000 per troy ounce could be close to a price floor ahead of gold's next potential advance, though he cautioned that level was not certain to hold.
- The People's Bank of China continued adding to its gold reserves, which now stand at approximately 2,410 tonnes — equivalent to about 9% of its total reserves — per World Gold Council data.
Why it matters: Gold sits about 26% below its January record above $5,500/oz, yet the recent 2% Fed-driven drop to $4,075/oz has not deterred bullish forecasts from fund managers at Troy and Aon, who cite September's 63-tonne central bank purchase surge as the structural demand supporting their case for new highs.
Ask SkimNews
