World famous bank announces gold forecast

Gold prices started to decline after the Fed rate decision. An ounce of gold reached 1600 dollars yesterday, which is the lowest level of 2.5 years. On Thursday, September 29, a recovery is seen in gram gold prices. Investors, ‘Will gold rise or fall?’ While searching for an answer to the question, a critical forecast for gold prices came from the bank giant ING.

The volatility in gold prices continues. The US Federal Reserve (FED) had increased the policy rate by 75 basis points in days, by 3-3.25%. After this decision, there was an upward movement in the foreign exchange, while there was a decline in ounces. The gram price of gold, which lost value yesterday in parallel with the decrease in the ounce gold price, showed a recovery this morning. Currently, 1,643 dollars are traded on an ounce basis in the Grand Bazaar, while gram gold is traded at around 980 TL. On the other hand, a striking forecast about gold prices in 2023 came from the giant bank ING.

What are analysts doing?

Analysts said that after the central banks aggressively increased interest rates last week and signaled that the high interest rate environment would continue for a while, the fast-rising dollar index declined today, supporting commodity prices, especially gold.

Stating that the search for balance may continue after the increased volatility in the markets, analysts noted that the macroeconomic data to be announced in the USA will be followed with the statements of central bank officials, especially the US Federal Reserve Chairman Jerome Powell.

Analysts reported that, technically, $1,620 and $1,600 per ounce of gold are as support and $1,670 and $1,690 as resistance.

giant guess

ING underlines that central banks around the world have increased their gold reserves due to the current economic situation. Accordingly, in the second quarter of 2022, central banks accumulated 180 tons of precious metal. ING also cited the Russian crisis as a reason for central banks to turn to gold. He then shared the price levels he expects to reach throughout 2023 for the precious metal.

ING predicts that the gold price will end 2022 at around $1,650 per ounce. According to their forecasts for next year, they expect gold to reach $1,730 in the first quarter. In addition, the bank forecasts that it will increase to $1,780 in Q2, $1,840 in Q3 and $1,900 in Q4.