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Making Sense

A bullish outlook for gold in 2024?

Jan 26, 2024
Natasha Kaneva, Head of Global Commodities Strategy, and Gregory Shearer, Head of Base and Precious Metals Strategy, discuss the bullish outlook for gold and silver in 2024, fueled by rate cuts and decreasing US 10-year real yields. They also explore the potential upside for silver prices and the relationship between precious metals and other commodity markets, emphasizing commodities as a preferred option for hedging inflation.
11:04

Podcast summary created with Snipd AI

Quick takeaways

  • Gold prices are expected to reach around $2,300 per ounce in 2024 due to a move lower in US 10-year real yields.
  • Investors should approach commodities with a tactical mindset in 2024, while maintaining a structurally bullish view on gold and expecting price increases for oil and a reversal in natural gas losses in the energy sector.

Deep dives

Bullish Outlook for Precious Metals in 2024

The podcast episode discusses the bullish view on both gold and silver prices in 2024. The main catalyst driving this outlook is the expected Fed cutting cycle. The first half of 2023 showed resilient gold prices despite rising interest rates, thanks to strong central bank demand. In the second half, gold saw a boost in prices due to the Israel-Hamas conflict and the market's anticipation of additional Fed cuts. Looking ahead, the podcast predicts a move lower in US 10-year real yields, opening up upside potential for gold prices to reach around $2,300 per ounce. Silver is expected to follow a similar trend with even more volatility, potentially reaching peak prices of around $30 to $33 per ounce in 2025.

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