Bank of America: Maintains Gold 12-Month Target Price of $6,000 per Ounce, Short-Term Pressured but Long-Term Bullish Thesis Unchanged

BlockBeats News, May 26th, U.S. Bank Managing Director and Head of Metal Research, Michael Widmer, stated that the short-term gold price will face pressure due to a decreased market expectation of a U.S. interest rate cut. However, the bank still maintains a bullish view on gold and reiterates its forecast that the gold price will rise to $6,000 per ounce in the next 12 months.

The current pressure on gold is related to the market's reevaluation of inflation risks and the U.S. interest rate path against the backdrop of rising energy prices due to the Middle East conflict. Despite these pressures, supported by ongoing gold purchases by central banks worldwide, increased investor demand, and weakening economic growth indicators, gold is expected to continue its upward trend.