Goldman Predicts $5,400 Gold Despite March Drop

0:00It's April 4th, I'm Cory with the story, and this is Durham News today, your AI-powered local news. Gold took a brutal hit in March 2026, dropping over 10% its worst month in more than a decade. Spot prices now hover between $4,567 and $4,769 per ounce, way off the. All-time high of about $5,600 from late January. But Goldman Sachs isn't flinching. They're sticking to their year-end target of $5,400 per ounce. They bump that forecast up from $4,900 back in January, and the recent sell-off hasn't changed their mind. Analysts point to three big drivers, massive central bank buying from places like China, which is snapped of gold for 15 straight months, strong. Inflows into western gold ETFs, adding hundreds of tons this year, and the so-called the basement trade, where rich folks and institutions hoard. Physical gold over worries about government debt.

1:01The drop caught everyone by surprise, sparked by the U.S. Iran conflict that jacked up oil prices and inflation fears, that strengthened the dollar and treasury yields, pressuring gold as a non-yielding asset. Gulf state's sold reserves to plug budget holes, and speculators unwound positions amid the chaos. Biden admits short-term risks, like more straight-of-form moves disruptions, could mean further downside. But they see upside-scued from private investors diversifying amid global uncertainty. Interestingly, their 5,400 target is the most conservative on Wall Street UBSI's 6,200, Deutsche 6,000, and JP Morgan 6,300. All these banks agree the structural demand is rock solid, so while March was rough, the long game looks golden if those buyers stay in play.