Gold prices experienced a decline on Monday, breaching the $3,000 per ounce mark. Despite its traditional safe-haven status, gold is currently subject to investor sell-offs to offset losses in other asset classes. ING anticipates this downward trend to be temporary, citing ongoing trade and tariff uncertainties that should ultimately reinforce gold’s safe-haven appeal.
The People’s Bank of China continued its gold accumulation in March for the fifth consecutive month, despite prevailing record-high prices. China’s gold reserves increased by 0.09 million troy ounces in the reported period.
ING projects continued central bank gold purchases, driven by geopolitical tensions and economic uncertainties prompting increased allocations to safe-haven assets. This sustained demand is expected to provide upward momentum for gold prices in the future.
