PANews reported on October 29th that although gold prices were under pressure at the beginning of the week, HSBC believes this is only a temporary correction in the precious metals. The institution expects the gold price rally to continue into the new year, peaking in the first half of 2026. HSBC points out that key factors driving the rally include safe-haven inflows, widening fiscal deficits, new threats to the Federal Reserve's independence, and pressure on overall US fiscal stability. Furthermore, the bank believes that strong inflows into ETFs and physical gold accounts will continue to support gold prices.

Looking ahead to the end of the year, HSBC stated that if the Federal Reserve cuts interest rates less than expected, it may slow the rise in gold prices, but the overall weakness of the US dollar should support precious metal prices until early 2026. The bank expects gold prices to fluctuate between $3,700 and $4,050 for the remainder of this year, with a year-end target price of $3,950. Next year, gold prices are expected to fluctuate between $3,600 and $4,400, peaking in the first half of 2026 and breaking through the $4,400 mark. The bank's forecast for gold prices at the end of 2026 is $3,800.