Gold Price Forecast: UBS Boosts Target to $3000 Amidst Global Uncertainty

Via a note from UBS (the bank’s Wealth Management area) on their outlook for gold.

• Analysts at the bank say that the price is above their long-term forecast of US$2850 and is above their estimate of fair value
• And add that gold is showing its worth as a store of value and a hedge against uncertainty
• They have boosted their forecast to US$3000 over the next 12 months

In brief on reasoning:

• If they happen, US tariffs on Canada & Mexico are unlikely to last long.
• See a gradual increase in US tariffs on China to 30%.
• Gold will continue to be supported by uncertainty, global rate cuts, and investor demand.

This article was written by Eamonn Sheridan at www.forexlive.com.