According to the bank's analysts, the global economic recovery and effective distribution of vaccines around the world will put serious pressure on the pricing of the yellow precious metal.
“Gold pricing will proceed differently in 2021 than in 2020, when in the first 9 months of last year there was a significant capital inflow into the shares of“ gold ”ETF funds. This year, everything is the other way around: the reserves of the funds have already decreased by 112 tons, and the cost of the precious metal has decreased by $ 200. It turns out that capital outflow from ETF funds has a stronger impact on the price of gold than inflows. "
Interest rates and US government bond yields remain important factors for the gold market to watch for investors. Bank analysts expect the yield on 10-year US government bonds in the 4th quarter of this year at 2%. The bank also believes that with a 28% probability the current 2021 gold price will end at $ 1,525 per troy ounce.