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Gold Could Hit $5,050 in Early 2026 Before Possible Mid-Year Correction

Gold prices may surge to $5,050 per ounce in the first half of 2026 due to rising geopolitical tensions and mounting global debt, according to HSBC analysts. However, the rally could be followed by a sharp correction in the second half of the year, reflecting heightened market volatility.

HSBC forecasts a wide price range of $3,950 to $5,050 per ounce for 2026, with an expected year-end price of $4,450. Analysts lowered their average price forecast slightly to $4,587, noting that early gains could trigger a pullback if global risks ease or if the U.S. Federal Reserve pauses interest rate cuts.

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Strong demand from central banks and retail investors continues to support gold, making it a key portfolio diversifier during uncertain economic conditions. Despite its volatility, gold remains resilient against global turbulence and a weakening U.S. dollar, HSBC said.

Looking ahead, HSBC raised its average gold price forecast for 2027 to $4,625 and sees further gains in 2028 and 2029, emphasizing gold’s role as a hedge against uncertainty. Analysts caution that unexpected shifts in monetary policy or global economic improvement could limit gains, but overall, the outlook remains positive for investors seeking safe-haven assets.

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