Trending Articles- Silver Price Forecast: Trump Signals Rapid Progress in US-Iran Negotiations, Bulls Target $90
- Gold declines below $4,500 as Iran tensions stoke inflation fears and bolster Fed hike bets
- Fed’s Powell says credibility lost if President can fire officials
- $1.5 Billion in Crypto Assets Liquidated, Bitcoin Falls Below $66,000 Mark. What Is the Reason?
- Bitcoin Suffers Year’s Strongest Waterfall-Style Decline. Will It Next Drop to the $60,000 Mark?
- WTI rises to near $93.00 as Iran launches missiles toward Kuwait, Bahrain
Powell's speech sent gold prices soaring to new highs. Goldman Sachs predicts gold could reach $3,700 by year-end or even higher.
On Thursday, after Powell's remarks, spot gold (XAUUSD) peaked at $3,357 per ounce, settling at $3,330 per ounce.
Gold Price Chart, Source: TradingView.
In his speech at the Chicago Economic Club, Powell said potential tariffs could lead to rising inflation and slowing growth. However, the Fed won’t intervene to save the market.
He noted, "The market faces a lot of uncertainty, but it is digesting what’s happening. It’s orderly and functioning as expected."
Before this, many expected the Fed would act to address issues from Trump's tariffs. Powell's comments dashed those hopes, driving up safe-haven demand and pushing gold prices higher.
Gold has been on a remarkable rise this year, up nearly 28% so far. Despite this, Goldman Sachs has raised its gold price forecasts. They believe it could hit $3,700 by the end of 2025, and possibly reach $4,500.
* The content presented above, whether from a third party or not, is considered as general advice only. This article should not be construed as containing investment advice, investment recommendations, an offer of or solicitation for any transactions in financial instruments.
