XAU/USD averages $2,025 in 2024 – NAB

Gold prices are supporting central bank purchases. National Australia Bank economists analyze the outlook for the yellow metal.

Strong central bank purchases

Gold prices have been trending sideways since the end of December. At face value, this seems somewhat counter to the improving economic data. Inflation in advanced economies has moved closer to its target by the end of 2023, sparking a rebound in both stock and bond markets.

According to the report, gold purchases by central banks (particularly China and Russia) have increased recently, supporting global demand.

We expect the price of gold to rise from approximately $1,942 in 2023 to an average of $2,025 in 2024.