What will gold prices be in 5 years?

The point is that mining company executives wouldn't invest large amounts of money in projects unless they trusted the price of gold. This combination of factors shows that there are a number of catalysts that could drive gold higher both in the short (one year) and in the long term (3 to 5 years), even if one or more don't work. I use a combination of technical analysis and observation of market fundamentals to make my predictions about the price of gold. Rising interest rates are generally negative for the price of gold, unless inflation rises even faster.

When real rates are high, owning gold is less attractive (compared to assets that generate returns, such as bonds). This is because current economic conditions will give us a clearer idea of where the price of gold will go. Although the supply of gold is very stable, global events surrounding gold can vary greatly and cause changes in the price of gold. The algorithm-based price forecasting service WalletInvestor was optimistic about gold and stated that the precious metal is “an acceptable long-term investment (one year)”.

As a result, many investors in the United States consider gold to be a way to protect themselves against a similar decision made by the Federal Reserve. The weakness of the dollar and inflation are some of the factors that are likely to drive precious metal prices, as well as geopolitical tensions between major military powers. This allows us to make some important assumptions about what the price of gold will do in the coming years. Gold has a history of real increases during the Fed's rate hike cycles, after the first rise began.

The euro, the British pound sterling and the Japanese yen, to a lesser extent, also influence the price of gold. This causes investors to seek to park their wealth on more finite assets, such as real estate, art and gold. Volatility increases significantly due to exogenous market shocks and random events, increasing the demand for investment in gold and gold ETFs.