International gold prices show relatively stable performance; institutions remain optimistic about medium to long-term trends

【Global Times Finance Comprehensive Report】According to reports from CNBC and other foreign media, since February 28, spot gold once rose from $5,296 per ounce to $5,423, then quickly fell back. This week, gold prices have been trading in the range of $5,050 to $5,200 per ounce, showing relatively stable performance.

(Image source: CNBC)

Ross Norman, CEO of Metals Daily, said that the flat gold trend is mainly influenced by a strengthening dollar and rising U.S. Treasury yields. Rising oil prices have heightened inflation concerns, boosting market expectations of sustained high interest rates, which makes interest-bearing assets like bonds more attractive, putting pressure on non-yielding assets like gold. He also mentioned that after previous sharp fluctuations, the current trend is a normal correction, with some institutional investors remaining cautious due to excessive volatility in precious metals.

Amer Halawi, Head of Research at Al Ramz, believes that panic selling and liquidity pressure are also key reasons why gold prices have not strengthened. In a tight liquidity environment, various assets are generally sold off, and gold is similarly affected, usually gradually recovering only after geopolitical shocks.

Despite increased short-term volatility, major international banks remain optimistic about gold’s year-end target prices. JPMorgan Chase forecasts that gold will reach $6,300 per ounce by the end of 2026; Deutsche Bank maintains a year-end target of $6,000.