Khaberni - J.P. Morgan, the largest financial institution in the world, said on Sunday that it expects the demand from central banks and investors to push gold prices to $6300 per ounce (ounce) by the end of the year.
Gold continued its decline on Monday to its lowest level in more than two weeks. The precious metal had recorded a record high of $5594.82 on Thursday.
In a memo, "We remain fully convinced of our optimism towards gold in the medium term against the backdrop of clear, structural, and ongoing movement amidst the outstanding performance of real assets versus paper assets."
J.P. Morgan now expects central bank purchases of gold to reach 800 tons in 2026, attributing this to the ongoing trend of diversifying reserves.
Regarding silver, which also plummeted after reaching its all-time high of $121.64 on Thursday, it has become difficult to identify the driving factors, which has increased J.P. Morgan's caution.
J.P. Morgan said, "We still see favorable opportunities for silver in the medium term (around $75-80 per ounce) at this time compared to our previous forecasts, after it outperformed in the race with gold, it is unlikely that silver will completely abandon its gains."
