Economists at UBS forecast further US Dollar weakness – which could lift Gold to $2,200 by March 2024.

Position for Dollar weakness

“With the Fed opening the door to pausing rate hikes, while other central banks-including the ECB-continue tightening, we expect the US Dollar to weaken further this year as the US interest rate and growth premium erodes. The Fed is likely to cut rates sooner than other major central banks.”

“We maintain a preference for the Australian Dollar and Japanese Yen, and we see relative value in the Euro, Swiss Franc, and British Pound.”

“A weakening Dollar should also support Gold, and we forecast the yellow metal’s price rising to $2,200 by March 2024.”