Gold price drops to $4,200 this year, will it rise to $5,300 next year?

Bart Melek, Head of Commodity Strategy at TD Securities

stated that the hawkish remarks delivered by Federal Reserve Chair Kevin Walsh at the Jackson Hole Global Central Bank Annual Meeting placed significant short-term downward pressure on international gold prices. International gold prices may fall to $4,200 per ounce this year and could rise to $5,350

per ounce by the third quarter of 2027. Melek indicated that international gold prices may decline further in the short term, due to the Federal Reserve reaffirming its commitment to inflation stability.

Analysts from Julius Baer Group believe

the US Treasury’s expansion of debt buybacks has intensified discussions about intervention in the bond market, which may benefit international gold prices.

The US Treasury's decision helps limit long-term bond yields but reduces the yield advantage that attracts global capital inflows into the US, further intensifying the weakening trend of the US dollar.

Overseas mining companies have higher expectations for future international gold prices, believing that if increasing gold supply can, to some extent, provide credit support for the global monetary system, international gold prices could multiply from current levels.

Demand for gold by central banks around the world has become an increasingly important factor in the bullish outlook, with more and more central banks adjusting proportions to reduce their US dollar holdings and increase their gold reserves.

From a technical perspective, the bullish target in the gold market is to push international gold prices above $4,500

per ounce,

while the bearish target is to drive international gold prices below $4,390

per ounce.

Before the release of this week's US employment data, international gold prices may remain volatile in a wide range.