JPMorgan, one of the world’s largest banks, has made a bold prediction: gold prices could double over the next three years. According to the bank’s strategists, rising investor demand could push prices up by around 110% during this period.
Led by Nikolaos Panigirtzoglou, the team explained that investors are increasingly turning to gold as a hedge against stock market volatility. They noted that the recent sharp drop in gold prices was triggered not by retail investors but by algorithm-driven profit-taking in futures contracts. Despite this, interest in gold ETFs is motivated by strategic diversification rather than short-term momentum.
Why Gold Could Surge
Currently, non-bank investors allocate about 2.6% of their total assets to gold. JPMorgan suggests that if investors continue to use gold as a risk hedge instead of long-term bonds, this allocation could rise to 4.6%, potentially driving prices roughly twofold.
Strategists also predict that equities, bonds, and cash assets could grow by $7 trillion annually over the next three years, with stock allocations reaching 54.6%, a level last seen during the dot-com boom.
Goldman Sachs maintains a year-end 2026 gold price target of $4,900 per ounce, citing ongoing upward pressure from central bank and institutional investor demand.
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