UBS Group lifts gold price target to $3,200

UBS Group has lifted its price forecast for gold to $3,200 an ounce, predicting that demand for safe haven assets will continue to rise amid global trade conflicts.

The Swiss bank said this price target, which is for the next four quarters, could be met as early as June. The revision comes just after bullion hit its previous upside forecast of $3,000, a milestone that came sooner than many had expected.

Gold’s scorching rally, according to UBS, underscores “the precious metal’s role as a store of value in uncertain times.”

In a note published Monday, UBS analysts pointed to US President Donald Trump’s plan to impose both broad reciprocal tariffs and additional sector-specific tariffs next month as a looming risk event that could spur further haven demand.

UBS also highlighted stronger inflows into bullion-backed exchange-traded funds another key driver of gold prices alongside robust central bank buying, which it expects to end the year at over 1,000 tonnes once again.

Gold “will also benefit from a worsening outlook for the US economy, with traders now pricing in additional interest rate cuts by the Federal Reserve as concerns about a recession rise,” the bank’s analysts added.

UBS joins a number of other banks that have raised their outlook on gold in recent weeks. Macquarie Group recently said prices would spike to $3,500 an ounce in the second quarter. Before that, Goldman Sachs lifted its 2025 forecast to $3,100 an ounce.

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