OCBC Bank: Raises the gold price target to $5,600 by the end of 2026

OCBC Bank analysts have raised their price forecast for gold, now expecting gold prices to reach $5,600 per ounce by the end of 2026. The bank's foreign exchange strategist Christopher Wong stated that this adjustment is due to the strong upward momentum of the safe-haven metal, prompting an increase from the previous forecast of $4,800.

Wong noted that the rise in gold prices reflects recent developments and their persistence exceeding expectations, rather than a reassessment of underlying fundamentals. "What is evolving is the degree of allocation to gold, rather than the fundamental reasons for holding gold." Wong pointed out that rising government debt, geopolitical concerns, and policy uncertainty have significantly enhanced gold's structural position in investors' asset allocation. Gold is no longer merely a hedge against crises or inflation but is increasingly seen as a neutral, reliable store of value that can provide asset diversification.