Gold (XAU/USD) is currently consolidating its recent gains, having achieved a new high for 2024 surpassing $2,080. Analysts from TD Securities are examining the future prospects for the precious metal.
More data weakness needed for takeoff
There is optimism that the convergence of diminished yields, anticipated to draw discretionary investors towards futures and ETFs, coupled with a resilient physical market in China and substantial central bank acquisitions, will propel Gold to reach unprecedented highs.
We anticipate that the price of the precious metal will likely surpass the $2,300 mark, contingent upon greater clarity regarding the timing and extent of the imminent Federal Reserve policy shift.
However, it is imperative to have further evidence indicating a significant slowdown in the economy, leading to a consistent decline in inflation, before considering this rally as sustainable and progressing towards our target.
