The Price Of Gold Reaches A New Record. What Analysts Expect
At the beginning of December, the price of gold hit a new record for the second consecutive day, touching $2,100 per ounce, while the global rush for bullion seems to continue.
The price of gold is poised to reach new highs next year and could remain above the $2,000 level, say analysts, citing geopolitical uncertainty, a likely weakening of the U.S. dollar, and possible reductions in central bank benchmark interest rates as causes.
The prices of the yellow metal have risen for two consecutive months, with the Israeli-Palestinian conflict boosting demand for this safe-haven asset. 
Gold tends to perform well in periods of economic and geopolitical uncertainty due to its status as a reliable store of value.
Spot price of gold rose on Monday to a new record of $2,110.8 per ounce. What Do Analysts Anticipate?
Bart Melek, the head of commodity strategies at TD Securities, expects the price of gold to average $2,100 in the second quarter of 2024, with strong central bank purchases acting as a key catalyst in price stimulation.
According to a recent survey by the World Gold Council, 24% of central banks intend to increase their gold reserves in the next 12 months as they become increasingly pessimistic about the U.S. dollar as a reserve asset.
"This implies potentially higher demand from the official sector in the coming years," said Melek.
“The anticipated retreat in both the USD and interest rates across 2024 are key positive drivers for gold,” Heng Koon How, head of markets strategy, global economics, and markets research at UOB, told CNBC via email.
Also, he estimated that gold prices could reach up to $2,200 an ounce by the end of 2024
“We believe the main factors buoying gold in 2024 will be interest rate cuts by the U.S. Fed, a weaker U.S. dollar, and high levels of geopolitical tension,” BMI, a Fitch Solutions research unit, said in a recent note.
