Illustration: If the current rise is maintained, gold is expected to hit the $10000 mark in 2028!

Topic: Topic| Trade disturbances hit again, and gold prices continued to hit new highs
Financial Union, October 13 (Editor Xiaoxiang)So far this year, spot gold prices have soared by more than 50%.According to industry statistics, if the price of gold can maintain the current rate of increase, it is expected to hit the threshold of the US$10000 mark as early as 2028.
Last week, the price of gold exceeded the US$4000 per ounce mark for the first time in history. Then, it jumped again last Friday due to US President Trump's tariff threat, and it further reached a historical high of US$4060 in the morning of the day.
If we introduced it a month ago, there is only the golden epic bull market in 1979, and the rise is even stronger than it is now. In 1979, New York gold futures rose by 126.5% for the full year, compared with about 53% year-to-date.
In response, Ed Yardeni, a veteran of the precious metals market and president of Yardeni Research, reiterated his previous bullish forecast for gold in a report on Monday.It is worth mentioning that Yardeni's previous bullish expectations for gold have been repeatedly realized ahead of schedule.
At the time, he listed many traditional risk-averse attributes of gold: factors such as hedging against inflation risks, central bank de-dollarization after Russian assets were frozen, and Trump's launch of a trade war and attempt to subvert the global geopolitical order.
Yardeni said,"Our current gold target is to reach US$5000 by 2026. If the current rally is maintained, it may exceed the US$10,000 mark before 2030."
According to the gold trend tracked by Yardeni since late 2023, if its current upward trend is maintained, it is expected to reach the milestone of US$10,000 per ounce between mid-2028 and early 2029.
The Federal Reserve's move to cut interest rates last month also boosted gold prices, as Fed policymakers are turning more attention to the stagnant labor market than to fighting inflation, although U.S. inflation remains stubbornly above the 2% target under the influence of Trump's tariff policy.
At the same time, debt surges in major developed economies, including the United States, have made investors uneasy about the global monetary system. This has fueled the so-called "currency devaluation trade"-a shift to bets on precious metals and bitcoin in the expectation that governments will allow inflation to rise to ease debt pressures.
Hamad Hussain, climate and commodities economist at Capital Economics, pointed out in a recent report that "fear of missing"(FOMO) sentiment is quietly permeating gold trading, making it more difficult to objectively assess the value of gold. He expects gold prices to continue to rise, but the increase will slow down as key positive factors weaken.
Hussain listed three factors supporting gold prices: Federal Reserve interest rate cuts, geopolitical uncertainty and fiscal sustainability concerns. On the other hand, he also mentioned that the recent rise in gold prices coincided with a stable dollar and higher yields on inflation-protected bonds-all clear signs of over-optimism in the precious metals market.
"As always, gold does not generate returns making objective valuations extremely difficult," he said."Taken together, we believe that gold prices may continue to rise slowly in nominal terms in the next few years."