UBS Raises Gold Price Forecast to $6,200

UBS Forecasts New Record for Gold Prices Swiss investment bank UBS has updated its gold price outlook in its latest "House View" report on commodity markets.
The bank projects that gold could rise to $6,200 per ounce, driven by increasing geopolitical tensions and supportive macroeconomic conditions.
Geopolitical Risks and Safe Haven Demand One of the primary reasons for the high price target cited in the report is the escalating tension between Washington and Tehran.
Analysts noted that U.S.
military activity in the Middle East is more extensive compared to past operations, carrying the risk of a prolonged conflict.
UBS strategist Dominic Schnider commented that while individual geopolitical events rarely have a lasting impact on global markets, the current situation serves as a powerful volatility trigger, prompting investors toward gold for portfolio protection.
Monetary Policy and Global Demand UBS expects two 25-basis-point interest rate cuts by the end of September.
Lower real interest rates and a potential depreciation of the dollar are noted as sustained support factors for gold, which is a non-yielding asset.
According to bank data, global gold demand broke a record in 2025 by exceeding the 5,000 metric ton threshold for the first time.
Strong central bank purchases and growing investor interest are expected to keep demand robust in the coming period.
The bank anticipates that as long as monetary easing steps continue, the upward potential for gold prices will be maintained.