Goldman Sachs is Projecting Significant Appreciation for Gold Until December 2026

Goldman Sachs maintains its bullish outlook for the gold market, projecting significant upside potential relative to its $5,400 per ounce estimate for December 2026. According to Jin10, the institution identified that the price fluctuations observed in early 2026 were primarily driven by Western capital flows, refuting the hypothesis that speculative activities played a dominant role in this movement.

Gold Price Forecast: Dynamics of International Flows

Goldman Sachs’s analysis offers important insights into what is truly moving the gold market. Instead of the traditional scenario of rampant speculation, a strategic reallocation of capital between regions is observed, particularly originating from Western markets. This dynamic suggests that institutional investors are channeling resources into assets like gold as a hedge against macroeconomic uncertainties, reflecting confidence in the appreciation narrative that the bank is projecting for the coming periods.

Silver and Liquidity Pressures: Extreme Volatility in London

In the silver market, the situation appears more complex. Price adjustments are more pronounced due to restrictive liquidity conditions in the London market, significantly amplifying bidirectional movements. In addition to technical factors related to options structures (similar to those observed in gold), the current liquidity pressure in London adds significant layers of extreme volatility to prices. This combination of factors demonstrates how different precious assets respond differently to the same market conditions, with silver being more sensitive to regional liquidity constraints.

Goldman Sachs’s outlook remains optimistic for gold, but parallel market dynamics warn of complexities beyond simple price projections, requiring ongoing monitoring of capital flows and global liquidity conditions.