BofA raises gold price forecasts for 2025 and 2026.

Bank of America (BofA) has raised its average gold price forecasts for this year and next, emphasizing that uncertainty stemming from U.S. trade policies will continue to support prices in the near term. In a note released today, BofA projected gold to trade at $3,063 per ounce in 2025 and $3,350 per ounce in 2026, up from previous forecasts of $2,750 per ounce for 2025 and $2,625 per ounce for 2026.

Currently, spot gold is trading around $3,024 per ounce, having gained over 15% this year. This record rally is driven by economic and geopolitical concerns triggered by U.S. President Donald Trump's trade policies. The bank reiterated that if investment demand rises by 10%, spot gold prices could soar to $3,500 per ounce within the next two years. However, BofA noted that U.S. fiscal consolidation and decreasing geopolitical tensions pose fundamental risks to the rise of bullion gold.