Gold Predicted to Reach $4,500 per Ounce by Mid-2026
Islamabad (Qudrat Daily) — Global financial institution **Morgan Stanley** has forecasted that gold prices could reach **$4,500 per ounce by mid-2026**, up from the current level near $4,000 per ounce.
In its latest analytical report, the bank cited **strong purchases by exchange-traded funds (ETFs) and central banks** as key drivers behind the expected price increase. Additionally, ongoing global economic uncertainty has prompted investors to seek gold as a **safe-haven asset**.
The report noted that recent price surges had temporarily pushed gold into an “overbought” zone, but a minor subsequent correction has helped restore healthier market positioning. Morgan Stanley anticipates **further investment in gold-backed ETFs** due to falling interest rates, while central bank purchases are expected to continue at a slightly slower pace.
However, the bank also warned that **price volatility** could shift investor interest to other assets, and any reduction in central bank reserves might exert downward pressure on gold prices.
Data shows that gold prices have risen by **54% this year**, reaching a high of **$4,381.21 per ounce in October 2025** before experiencing an over 8% decline. Morgan Stanley attributed this surge to **geopolitical tensions, lower interest rates, and heavy ETF investments**.
Other banks have also issued optimistic predictions:
* **Bank of America:** $5,000 per ounce by 2026
* **J.P. Morgan:** Average $5,055 per ounce
* **Société Générale:** $5,000 per ounce
* **Goldman Sachs:** $4,900 per ounce
Experts believe that if **central bank purchases continue** and interest rates decline further, gold prices could rise even more over the next two years.
