US$4,000 Gold Target? Goldman Sachs Says It’s Coming

Goldman Sachs analyst Lina Thomas has predicted gold prices may increase to US$3,700/oz by the end of 2025, with prices hitting US$4,000/oz by mid-2026. Similarly, UBS strategists forecast US$3,500/oz by December 2025. These bold predictions come off the back of last week's rally, where gold surged by 6.6%, hitting all-time highs of US$3,245/oz on Monday. The bullish outlook reflects growing confidence in gold’s value amid global economic uncertainties, including tariff changes every other day, and central banks continuing their buying sprees.

Demand for gold remains a key factor driving its upward trajectory. Goldman Sachs believes central banks will be purchasing up to 80 tons of gold a month in 2025, up from their earlier estimate of 70 tons. With a 45% chance of a recession looming, according to Goldman’s analysts, gold’s shine as a safe bet is hard to ignore. UBS points out that everyone from central banks to hedge funds, wealth managers, and even your average retail investor is piling in, alarmed by geopolitical flare-ups and trade wars that keep markets on edge.

With limited new gold coming out of mines, and central banks and ETFs hoarding massive stashes, prices could see an even further increase as supply struggles to meet demand. UBS’s Joni Teves notes that the market isn’t overcrowded yet—there’s still room for increased investor exposure to gold. Compared to the 2008 crisis, the crowd betting on gold is larger and more varied, which could push prices even higher if uncertainty continues.