Gold Price Could Hit $4,000 by Year-End, Says Fidelity

Gold Price Forecast: Why $4,000 per Ounce Is Possible

Fidelity’s Ian Samson predicts gold prices could reach $4,000 per ounce by the end of 2024. He highlights a dovish Federal Reserve and a declining US dollar as primary drivers. Investors have increased gold holdings amid ongoing geopolitical and economic uncertainties. The precious metal has already gained over 27% this year, reflecting its status as a safe haven asset during global trade tensions and tariff impositions.

Meanwhile, the market has experienced some pullback from gold’s April record high near $3,500. Samson notes that while recent easing in US trade tensions reduced panic buying, the overall economic slowdown induced by tariffs will likely sustain gold demand. He explains that tariffs affecting about 11% of the US economy could slow growth, pushing investors towards gold for portfolio diversification.

Market Dynamics and Fed Policy Impact on Gold Price

The Federal Reserve’s upcoming meeting draws intense focus, with expectations of no immediate rate cuts. However, internal debate within the Fed is intensifying. Officials like Christopher Waller advocate for monetary easing to support labor markets. Furthermore, Jerome Powell’s term as Fed Chair ends next May, and a successor inclined toward lower rates could soften the US dollar further. Samson anticipates such shifts will bolster gold prices as investors seek hedges against weakening growth and currency risk.

SuperMetalPrice Commentary:

The gold price outlook at $4,000 reflects the intersection of monetary policy, geopolitical tensions, and trade disputes. As the Fed leans dovish and tariffs exert economic drag, gold’s appeal as a safe haven grows. Market participants should monitor Fed signals and trade developments closely. For metals investors, gold remains a strategic asset amid rising uncertainty and potential currency depreciation. Our analysis suggests maintaining or increasing gold exposure as part of diversified portfolios to navigate volatility in 2024.