Citi analysts recently weighed in on the rally in precious metals, with the firm increasing their gold price forecast for the next 3 months, citing further U.S. labor market worsening, physical and ETF buying of gold, and expected interest rate cuts from the Federal Reserve. The new 3-month gold price target is $2,800 per ounce, up from $2,700, while the 6-10 month target is $3,000. For comparison, last week's new high in December gold futures (GCZ24) was $2,772.
Similarly, Citi upwardly revised their 6-12 month target for silver from $38 to $40 per ounce, compared to December silver's (SIZ24) recently tagged peak around $35.
