HSBC has lowered its average gold price forecasts for 2026 and 2027. This adjustment stems from expectations of a stronger U.S. dollar and a hawkish Federal Reserve. The bank anticipates gold trading within a specific range for the remainder of 2026. Central bank purchases have moderated, though long-term diversification offers support. Despite forecast reductions, downside risks for gold appear limited.

Central banks plan to cut U.S. dollar holdings and increase gold reserves. Gold reaching $4,500 by July 2026 at 17.5% YES.

Despite a generally positive long-term outlook on gold, brokerages are adjusting their near-term expectations downward. Bank of America has notably decreased its average gold…