UBS Forecasts Gold to Reach $4,500 by Q2 2026 Amid Fed Rate Cut Expectations
Gold (XAUUSD) has surged 54% this year, poised for its strongest performance since 1979. UBS now projects the metal will hit $4,500 by Q2 2026, revising its earlier $4,200 target. The bank cites anticipated Fed rate cuts, lower real yields, and geopolitical uncertainty as key drivers.
The firm maintains a bullish upside target of $4,900, representing 20% growth from current levels, while keeping a $3,700 downside scenario. "We expect gold demand to rise further in 2026," UBS analysts noted, highlighting gold's appeal as a non-yielding SAFE haven during monetary policy shifts.