Citi: Expects Short-Term Gold Target Price to be $4,500

BlockBeats News, July 28th, Citigroup stated that the base case indicates that, despite the historical third quarter being a seasonally strong period for restocking, India's gold imports will remain subdued in the third quarter. This is due to ample scrap supply, cautious consumer sentiment, and a local price discount, which have suppressed fresh import demand. However, Citigroup still sets its short-term gold target price for the next 0 to 3 months at $4500.

The bank stated that this target assumes a relaxation of the situation in the Strait of Hormuz and a more dovish stance by the Federal Reserve; in the short term, there are still many risks that could lead to another downward pressure on the gold price, including a significant re-escalation, AI-driven derisking operations, and the Federal Reserve maintaining a hawkish stance. (FXStreet)