Despite the sudden and historic collapse in gold prices last weekend, and heavy losses in a short period of time, JPMorgan expects gold prices to reach $6,300 per ounce by the end of the year due to demand from central banks and investors, given the strong wave of decline after the precious metals market reached a level of $5,597.04 per ounce and the price fell to $4,401.05 per ounce. Similar.
Diversification of structure
The bank explains in a research note: “Given the outperformance of physical assets versus paper assets, we remain very optimistic about gold over the medium term, supported by a clear and continuing trend towards structural diversification. We expect this trend to continue.”
Purchase at “Chuo”
The US Bank has indicated that central bank gold purchases could reach 800 tonnes this year, supported by continued reserve diversification trends.
Silver, the bank suggested, will be traded more cautiously as it is difficult to identify and measure the drivers of continued price increases.
Although gold prices experienced a sudden and historic collapse last weekend and suffered significant losses in a short period of time due to the strong downturn that hit the precious metals market, reaching a level of $5,597.04 per ounce before falling to $4,401.05 per ounce, JPMorgan expects gold prices to reach $6,300 per ounce by the end of the year, driven by demand from both central banks and investors.
Diversification of structure
In a research note, the bank explained: Underpinned by a clear and ongoing trend towards structural diversification, we remain very optimistic about gold over the medium term and expect physical assets to continue to outperform paper assets.
Purchases by central banks
American Bank indicated that central bank gold purchases could reach 800 tonnes this year, supported by a trend toward greater reserve diversification.
Trading in silver has become more cautious as it is difficult to identify and measure the drivers of continued price increases, the bank said.
