Investors predict new record price for gold within two years

{"text":[[{"start":9.24,"text":"The price of gold is set to hit new record highs within 24 months, investors have predicted, as data shows that central banks’ buying of bullion in September reached to its highest level in almost two years."}],[{"start":21.96,"text":"The gold price fell 2 per cent to $4,075 per troy ounce on Wednesday on expectations that the Federal Reserve will raise US interest rates again, but some fund managers expect a sharp rebound for the precious metal."}],[{"start":36.42,"text":"The forecasts come as reported gold-buying by central banks in September rose to the highest monthly level since November 2024, with about 63 tonnes of purchases recorded so far, according to provisional data from the World Gold Council. The figures were compiled by the trade association using central bank and IMF data."}],[{"start":57.28,"text":"Gold hit a record high of more than $5,500 per troy ounce in January after a frantic run-up in prices. Although it has tumbled since then, the precious metal remains at historically high levels."}],[{"start":70.08,"text":"Fund managers expect the gold price to rise over the medium to long term, supported by investors seeking safe havens during a period of geopolitical tensions and economic and financial market uncertainty."}],[{"start":null,"text":"

"}],[{"start":81.44,"text":"Speaking at the FT’s Precious Metals Symposium on Wednesday, Charlotte Yonge, a fund manager at Troy Asset Management, predicted that gold would hit a new record high within 12 to 18 months."}],[{"start":93.02,"text":"She said gold was the ideal “hedge” against the worsening “state of government finances”, pointing to ballooning US government debt and expectations that the world’s central banks would print more money “next time we go into a recession”. “Gold can’t be printed in that same way,” she added."}],[{"start":108.84,"text":"Paul Carne, delegated chief investment officer for Europe, the Middle East and Africa at Aon Investments, said the price of gold would hit new record highs within two years."}],[{"start":118.48,"text":"“When you weaponise the dollar . . . don’t be surprised when people stop using it. What are you going to use instead?” he added, pointing to gold, as he also referenced US policymaking."}],[{"start":129.24,"text":"Peter Marrone, chair and chief executive at mining company Allied Gold, said investors should be asking if “we are on the front end of a financial crisis”."}],[{"start":137.4,"text":"“It seems to me we’re on the cusp of a financial event,” he said. Family offices were piling into bullion as the macroeconomic environment became shakier, “diversifying away from government bonds in favour of gold”, Marrone added."}],[{"start":150.84,"text":"Ian Cockerill, chief executive of gold producer Endeavour Mining, highlighted support for the price of bullion from “the macroeconomic environment, people losing faith in fiat currencies, central banks thinking to themselves, ‘How do I protect the value of my currency?’”"}],[{"start":166.44,"text":"“That is very strong underpinning in the price of gold,” he said. “Is $4,000 the floor? I don’t know. But if it isn’t, it’s pretty damn close for the next leg up in the gold price.”"}],[{"start":177.12,"text":"Suki Cooper, global head of commodities research at Standard Chartered, said there was still “very strong” demand from central banks for gold, although some had engaged in selling this year as certain countries sought to raise money after the outbreak of the US-Israeli war with Iran."}],[{"start":192.12,"text":"Emerging market institutions wanted an alternative “reserve currency” to the US dollar, which was likely to be gold rather than other currencies such as the euro or the yen, said Yonge."}],[{"start":203.7,"text":"Executives said they expected central bank buying of gold to pick up as markets lost confidence in the US dollar and increasingly looked for alternatives."}],[{"start":212.16,"text":"The People’s Bank of China has continued to add to its gold reserves in the past few months. The central bank’s bullion stocks now stand at 9 per cent of total reserves, or about 2,410 tonnes, according to World Gold Council data."}],[{"start":231.08,"text":""}]],"url":"https://audio.ftcn.net.cn/album/a_1792045230_6723.mp3"}