Gold Prices Could Soar to $10,000 by 2029: Are You Prepared for the Surge?
Can you believe this? Gold has skyrocketed almost 50% this year, hitting an astonishing $4,000 per ounce! But hold onto your hats, because experts predict it could surge another 150% by 2028.
Earlier this week, the precious metal reached a historic milestone, and just when you thought it couldn’t get any more interesting, President Trump announced a staggering 100% tariff on China, shaking financial markets to their core. As a result, stocks plunged to their deepest lows since the chaos of Trump's trade war last April, prompting investors to flee to gold as a safe haven.
Market veteran Ed Yardeni, president of Yardeni Research, has been bullish on gold and recently underscored his confidence by revising his price target to an ambitious $5,000 by 2026. Yardeni has pointed out several key factors driving gold's ascent: its role as a hedge against inflation, the global shift away from the dollar, and the fallout from China's housing bubble bursting.
Gold’s trajectory suggests that it might even reach the jaw-dropping $10,000-per-ounce mark between mid-2028 and early 2029, especially if the current pace holds.
The recent pivot from the Federal Reserve, which has signaled potential rate cuts due to stagnating labor markets, has also energized gold prices. While inflation remains above the Fed's 2% target, the ongoing economic challenges make gold a more attractive option for investors wary of global currency instability.
Capital Economics’ Hamad Hussain emphasizes that fear of missing out (FOMO) is influencing the gold market, complicating its valuation. He suggests that while prices will likely continue to rise, the pace may slow as certain supportive factors begin to wane. Hussain points out that geopolitical uncertainty and concerns about fiscal sustainability are the driving forces behind this bullish outlook, even as inflation-protected bond yields recently increased.
Despite the challenges in valuing gold due to its lack of a direct income stream, it appears that the yellow metal is on a relentless upward trend. So, if you’ve been thinking about investing in gold, now might be the time to act before the rush really kicks in!
