WORLD (Enmaeya News) - October 18, 2025

Bank of America has raised its 2026 gold price forecast to $5,000 per ounce, up from earlier projections, signaling strong confidence in continued upside for the precious metal, according to Reuters.

In its updated outlook, the bank also projects an average gold price of about $4,400/oz, even as it warns of possible near-term pullbacks.

The revision comes as a result of gold’s recent rally past the $4,000 mark, driven by rising trade tensions, expectations of U.S. interest rate cuts, and mounting demand for alternative assets.

The bank analysts argue that if investment demand increases by roughly 14%, similar to current trends, gold could reach that lofty target by 2026.

Still, they caution that short-term volatility and corrections remain possible as markets digest macroeconomic shifts and policy developments.