Beepre reports that Goldman Sachs analysts Lina Thomas and Daan Struyven, in their November 5 report titled “Precious Metals Analyst Report: Long-Term Bullish on Gold, But Not Now,” lowered their year-end 2026 gold price forecast from $4,650 per ounce to $4,150 and reduced their year-end 2027 target from $5,400 to $4,800.
For a bank that has long supported a structural bull market in gold, this correction is significant. However, Goldman Sachs still expects central banks to continue purchasing gold in large quantities, as concerns over the safety of foreign exchange reserves persist, and the eventual decline in U.S. interest rates will continue to support gold prices.
Stephen Innes, a macro market strategist and expert in foreign exchange and commodities in the international financial community, analyzed the report, stating that what has truly changed is the underlying driver of gold’s price rise: while central banks around the world continue to steadily increase their gold reserves, the Federal Reserve’s maintenance of a restrictive monetary policy is dampening private investors’ willingness to buy—particularly speculative capital reliant on leverage and options trading.
What’s changing in the gold market is that central banks may still be buying, but leveraged funds are no longer willing to follow them at any cost.