Synopsis: JP Morgan forecasts gold prices to rise to Rs.85,000 per 10 grams by mid-2026, driven by global economic concerns, inflation, and geopolitical instability. Moody's recent downgrade of the US credit rating and weak bond demand are pushing investors toward gold, making it a long-term bullish trend.
International
investment bank JP Morgan has forecasted a significant rise in gold prices,
predicting that gold could reach Rs.85,000 per 10 grams by the second quarter
of 2026. This projection comes at a time when gold prices are already surging,
recently touching $3,335 per troy ounce.
The report
anticipates that gold will hit $3,675 per troy ounce by the fourth quarter of
2025, which would translate to around Rs.78,000 per 10 grams. By mid-2026, the
price is expected to climb further to $4,000 per troy ounce, potentially
pushing domestic prices up to Rs.85,000.
This bullish
outlook follows Moody’s recent downgrade of the US credit rating, citing rising
debt levels and increasing interest expenses. Analysts also point to a decline
in demand for the US Treasury Department’s 20-year bond as a contributing
factor to the rising appeal of gold.
Key Drivers Behind Gold’s Price Surge
According to
the report, several factors are fueling the price surge in gold, including:
- Global monetary policy shifts
- Persistent inflation trends
- Heightened geopolitical
tensions
JP Morgan's
analysis emphasizes that the current gold rally is not a temporary spike but
part of a long-term bull market. The bank recommends that investors take this
trend seriously and consider gold as a strong hedge against economic
uncertainty.
#Gold Price Forecast - JP Morgan Predicts Rs.85,000 per 10 Grams by 2026
