Despite signs of an impending US economic downturn starting next spring, Commerzbank (ETR:) economists remain steadfast in their prediction of a sustained rise in gold prices over the mid to long term. As reported on Tuesday, the forecast hinges on the speculated rate cuts that are expected to bolster gold prices.
The economists have, however, revised their year-end estimate downwards to $1,900 from the initial $2,000. Despite this adjustment, they maintain their projection that gold will reach an unprecedented $2,100 by the end of 2024.
They also stated that despite imminent signs of a US economic slump from next spring, the forecast for Gold price to scale an unprecedented $2,100 by 2024 remains firm. This recession is projected to trigger rate cut speculation, thus boosting Gold’s value. The Gold recovery trajectory is predicted to commence at a lower point and later than first thought.
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