Gold Price Forecast 2021

Nicoya Research

$3,250/Oz Gold in 2021

Investment firm Nicoya Research foresees the price of gold climbing to $2,500 an ounce in 2021. Diminishing gold supply every quarter since 2019 in the face of increasing demand for gold and silver coins from institutional and retail investors is set to push gold prices higher in the coming year. And, if gold’s current bull run is anything like the last time around, the price of gold could soar to $6,000 by 2025, predicted Nicoya.^[2]

Technical Traders

$2,400/Oz Gold in 2021

By the end of January 2021, gold prices could hit $2,400 per ounce, said Chris Vermeulen, the Chief Market Strategist for Technical Traders Ltd. On August 13, 2020, Vermeulen forecast the price of gold to reach $2,160 an ounce and pause briefly before jumping another $250.^[3]

Natixis

$1,950/Oz Gold in 2021

If the Federal Reserve introduces yield curve control, you could see $1,950-an-ounce gold in the second quarter of 2021, suggested Bernard Dahdah, head of precious metals research at the international investment bank Natixis on July 3, 2020. The price of gold surpassed $2,000 an ounce a few weeks after he made this prediction and has hovered right below or above $1,950 an ounce since.^[4]

Gov Capitol

$2,192.91/Oz Gold in 2021

Utilizing a custom algorithm based on Deep Learning, investor blog Gov Capitol predicted on September 3, 2020 that gold prices would reach $2,192.91 an ounce in one year, which would be the third quarter of 2021. Even more impressive? Gov Capitol’s 5-year gold price forecast of $9,134.90 an ounce.^[5]

ABN AMRO

$2,000/Oz Gold in 2021

“The stars continue to align for the gold market,” wrote Georgette Boele, the precious metals strategist at Dutch bank ABN AMRO. Why? Because real interest rates are negative and could descend even further should inflation rise. Factor in the limited upside potential for U.S. Treasury yields if the Fed introduces yield curve control, and the outlook for gold gets even brighter.

Even if there is a correction in the gold market, noted Boele, it will likely be short-lived and should be viewed as an opportunity for investors to “buy-on-dips.” On July 9, 2020, she predicted the price of gold to close 2021 at $2,000 an ounce.^[6]

Wells Fargo

$2,300 – $2,300/Oz Gold in 2021

Echoing Boele’s statement, Austin Pickle, a Wells Fargo investment strategy analyst, asserted that market fundamentals are favorable for gold but, “it won’t be a straight line higher in terms of future price moves. ‘Gold could take a breather in the short term.’” And, he argued, this has been the pattern for gold prices since finally breaking through the $1,300-an-ounce resistance level in 2019. The next stop for gold? $2,200 – $2,300 an ounce by the end of 2021.^[7]

Citibank

$2,300/Oz Gold in 2021

More than any other factor influencing gold prices, Citi economists indicated negative real yields are driving the rally because bond yields equal to or lower than the rate of inflation reduce the opportunity cost of holding gold. Should inflation rise to 3%, investors would likely see a -3% real yield.

And gold prices? They could ‘perform extremely well,’ explained Guy Foster, head of research at Brewin Dolphin. How well? Citi economists foresee $2,300-an-ounce gold by the fourth quarter of 2021.^[8]

Bloomberg Intelligence

$2,100/Oz Gold in 2021

Bloomberg Intelligence senior commodity strategist Mike McGlone sees debt and quantitative easing fueling the continued bull run for gold prices. McGlone forecasts gold prices nearing $2,100 an ounce to start 2021.^[9]