BMI has revised its 2024 gold price forecast by nearly 6% to $2,375 from $2,250 per ounce. 

The Fitch Solutions' research unit expects prices to trade within the $2,500-$2,800 per ounce range in the coming months. 

The average price seen was $1,943 per ounce in 2023.

“We are now neutral to bullish towards gold for Q4 2024-Q1 2025, as prices receive support from the US Fed’s rate cuts and high levels of geopolitical tension,” BMI said. 

Downside risk includes Donald Trump winning the US elections in December, which would support the US dollar and pressure gold. 

“In the longer term, we expect gold prices to remain elevated in the coming years compared to pre-Covid levels,” the note stated.

BMI expects global gold production to increase from 101.4 million ounces in 2023 to 131.6 million ounces by 2033.  

(Editing by Seban Scaria seban.scaria@lseg.com)