UBS: Maintaining core forecast of $3500 gold price, not ruling out the possibility of rising to $3800

According to Golden Finance, Trump refuted the claim that "gold will be taxed" on Monday, putting an end to speculation about whether gold will fall into ongoing trade frictions. UBS Global Management stated that although the direct risk of imposing tariffs on gold has been eliminated, this incident highlights the possibility of policy driven volatility. With the easing of uncertainty, UBS stated that their reasons for investing in gold still exist and will reconsider the record breaking $3500.05 set in April. UBS expects that the trend towards de dollarization, concerns about sanctions, doubts about the independence of the Federal Reserve, and ongoing geopolitical and macro related risks will support the core forecast of $3500 per ounce. In addition, if the geopolitical or economic situation deteriorates, the risk of gold prices rising to $3800 per ounce cannot be ruled out.