Gold Rises on Goldman Sachs' Higher 2026 Target to $3,500/Ounce

Gold prices surged on January 22, 2026, after Goldman Sachs raised its end-2026 price target for the precious metal to $3,500 per ounce, up from $2,800 previously. The upgrade followed a reassessment of global monetary policy trends, supply constraints, and rising demand from central banks. Spot gold climbed above $3,100/oz in early trading, marking the highest level since October 2025. Goldman cited persistent inflation pressures and potential rate cuts by major central banks as key drivers for higher gold demand. The firm also highlighted increased sovereign accumulation, particularly from China and India, which have been net buyers in recent quarters. Analysts noted that geopolitical tensions and currency volatility further support gold’s appeal as a hedge. The move follows broader market concerns about U.S. Treasury yields and the strength of the dollar. Gold futures for April delivery rose 2.4% to $3,125/oz, while the SPDR Gold Trust (GLD) gained 1.9%. The outlook remains bullish, with Goldman expecting continued outperformance through mid-2026.