Gold to hit US$3,600 in second rally of 2025, and stay there through 2026: CIBC

Gold bars, photo — CIBC says uncertainty around the world this year is boosting the appeal of alternative reserve asset. (GETTY) · ASSOCIATED PRESS

The price of gold is forecast to hit a new all-time high of US$3,600 per ounce in the second half of 2025, and stay there through next year. That’s according to CIBC Capital Markets analysts expecting an encore to early 2025’s record-breaking rally.

The spot price of bullion (GC=F) has climbed about 28 per cent year-to-date. Gold set a fresh record trading high at about US$3,500 per ounce in late April. Since then, prices have pulled back to the US$3,300-range.

CIBC analyst Anita Soni says a banquet of uncertainty around the world this year is boosting the appeal of alternative reserve assets. Last December, her team predicted gold prices would average $2,800 per ounce in 2025.

“In that seven months, U.S. President Trump has taken office, initiated a global trade war and implemented several protective tariffs impacting goods imported into the United States, and threatened and backed off from multitudes more,” Soni wrote in a recent report.

“Geopolitical tensions in the Middle East and Russia remain elevated,” she added. “All this uncertainty has led to the acceleration of de-dollarization, supporting gold prices.”

CIBC Capital Markets now expects bullion to average US$3,600 per ounce in the second half of 2025, and through 2026. In 2027, the bank forecasts US$3,300 per ounce, falling to US$3,000 in 2028.

On Monday, the Toronto-based bank boosted its price targets for 36 Canadian gold stocks, citing expectations for lower interest rates, geopolitical uncertainty, and continued stockpiling by central banks among expected tailwinds for the precious metal.

“We continue to expect a positive macroeconomic setup for gold,” Soni wrote. “We believe [U.S.] rate cuts are likely and it’s a matter of ‘when and how fast’, and not ‘if.’”

CIBCs top stock picks in the sector are Agnico Eagle Mines (AEM.TO), Kinross Gold (K.TO), Alamos Gold (AGI.TO), Franco-Nevada (FNV), and Discovery Silver (DSV.TO).

Jeff Lagerquist is a senior reporter at Yahoo Finance Canada. Follow him on X @jefflagerquist.

Download the Yahoo Finance app, available for Apple and Android.

Source link

Visited 1 times, 1 visit(s) today

A smiling person writing notes while looking at stock charts on the computer.

Investing in Artificial Intelligence (AI) Stocks Can Be Risky, but This Might Be a Great Way to Do It

An exchange-traded fund can help smooth out volatility when investing in high-growth themes like artificial intelligence. Investors can earn a reliable, practically risk-free annual return of up to 5% by purchasing U.S. government bonds, or they can invest in the S&P 500 (^GSPC -0.12%) index, which has delivered a compound annual return of 10.5% since

31 July 2025

Probing claim that interstellar object is ‘most likely’ an alien ship heading towards Earth

Claim: In July 2025, scientists discovered a mysterious intergalactic object that was “most likely” an alien ship that could reach Earth by November 2025. Rating: Rumors of an incoming alien attack invaded some social media feeds in late July 2025 after the New York Post published an article about a potential “alien probe.” While the

31 July 2025

Now nurses and GPs threaten to strike as NHS braces for winter chaos

Sign up for our free Health Check email to receive exclusive analysis on the week in health Get our free Health Check email Get our free Health Check email NHS patients face months of winter strikes as nurses and GPs are the latest to threaten walkouts if their demands are not met. The Royal College

31 July 2025

Four people wearing white lab coats in a lab.

Where Will Pfizer (PFE) Be in 5 Years?

The big drugmaker should be even bigger over the next five years despite facing a patent cliff. Five years ago, the eyes of the world were on Pfizer (PFE -2.00%). The big drugmaker was racing to develop a COVID-19 vaccine with its partner, BioNTech (BNTX -1.41%). Its stock was poised for a huge gain once

31 July 2025

London, UK. August 7th 2021. People walking down Oxford Street in a heavy summer shower.

Met Office thunderstorm warning takes effect in parts of the UK – what to know

A yellow thunderstorm warning encompasses Bristol and other areas in the UK 07:51, 31 Jul 2025Updated 08:08, 31 Jul 2025 People walking in heavy rain on Oxford Street, London.(Image: Simon Shepheard via Getty Images) Torrential rain, lightning and hail are poised to pummel southern regions of England as a yellow thunderstorm warning takes effect. The

31 July 2025

Gaza hunger reaches ‘tipping point’ as children suffer malnutrition

Doctors and aid workers inside Gaza, themselves overworked and underfed, have been warning for months about the critical lack of food and the spiraling cost of the little that was available due to Israel’s offensive and crippling aid restrictions. They say that their worst fears are coming to pass. “We are now facing a massive

31 July 2025

UK transport secretary demands answers from air traffic control chief after flight disruption

LONDON (AP) — Britain’s transport chief has summoned the head of the country’s air traffic control operator to explain the problem that grounded and diverted dozens of flights Wednesday. More than 150 flights were cancelled across the U.K. as a result of what the National Air Traffic Service, or NATS, described as a “technical issue”

31 July 2025

China summons chip giant Nvidia over alleged security risks

Nvidia is a world-leading producer of AI semiconductors, but the United States effectively restricts which chips it can export to China on national security grounds (I-HWA CHENG) Chinese authorities summoned Nvidia representatives on Thursday to discuss “serious security issues” over some of its artificial intelligence chips, as the US tech giant finds itself entangled in

31 July 2025

Gold to hit US$3,600 in second rally of 2025, and stay there through 2026: CIBC

Related Article