According to analysts from Bank of America, gold is on track to tighten monetary policy, even though the inflationary pressure continues to hold its prices above $ 1,800 an ounce.
It is worth noting that the bank lowered its forecasts for non-ferrous and precious metals in a report published on Thursday last week.
Gold
After evaluating these gold prices, analysts said that the precious metal is $ 1,828 on average for the year. This is 0.8% lower than their previous forecast. They believe that gold prices will rise above $ 1,900 per ounce by the fourth quarter.
Silver
The bank also lowered its forecast for silver. According to their estimates, silver's average price will be about $ 27.71 per ounce this year. This is lower than the previous forecast by 3.9%. They added that they like silver more than gold in the future of investments.
Analysts believe that interest rates drive the volatility of gold, and silver will benefit from the growing demand for it from green energy.
Platinum
With regard to Platinum Group Metals, the Bank of America said that the average annual price will be $ 1,287 per ounce. This is lower than the previous forecast by 2.2%.
Palladium
Palladium's average annual price is presumably about 2,888 per ounce. This is 1.9% lower than the previous estimate. However, the bank believes that prices for platinum and palladium will increase by 8% in the long term due to the fact that high production costs will limit supply.
Copper
As for copper, the bank believes that its prices will amount to $ 9868 per ton on average this year. This is 6.7% lower than the previous forecast.
Lastly, we have nickel. Its average annual price will be around $ 17,436 per ton. This is 0.1% lower than the previous forecast.
