UBS Raises Gold Target Price for End-March 2026 by $100 to $3 600/oz
The bank expects sticky US inflation, below-trend growth that is likely to prompt US Federal Reserve policy easing, and continued dollar weakness will collectively support higher gold prices.
SEATTLE (Scrap Monster): UBS on Monday raised its gold target price for end-March 2026 by $100 to $3 600 per ounce as persistent US macroeconomic risks, de-dollarization trends, and strong investment demand — especially from exchange-traded funds (ETFs) and central banks — are expected to drive gold prices higher.
UBS also lifted its end-June 2026 forecast by $200 to $3 700 per ounce and introduced a new end-September 2026 target at the same level.
The bank expects sticky US inflation, below-trend growth that is likely to prompt US Federal Reserve policy easing, and continued dollar weakness will collectively support higher gold prices.
'We see US macro-related risks, questions over Fed independence, worries about fiscal sustainability, and geopolitics underpinning de-dollarization trends and more central bank buying. In our view, these factors will drive gold prices even higher,' UBS said in a note.
UBS raised its full-year ETF gold demand forecast to nearly 600 metric tons from 450 metric tons, citing World Gold Council data showing the strongest first-half 2025 inflows since 2010.
'Central bank purchases should stay strong, albeit slightly below last year's near-record purchases. We, therefore, now forecast global gold demand to increase by 3% to 4 760 mt in 2025, which would mark the highest level since 2011,' UBS added.
US gold futures for December delivery settled 0.1% lower at $3 378 on Monday, pressured by a stronger dollar, while investors focused on US President Donald Trump's meeting with Ukrainian and European leaders.
Courtesy: www.miningweekly.com