28.05.202013:42 Forex Analysis & Reviews: Gold leads precious metal growth in 2020

The gold, being the No. 1 asset among other precious metals, firmly holds leadership positions. Experts predict it will grow to $ 1800 per ounce and higher in the coming months.

The COVID-19 pandemic provoked an increase in interest in the main precious metal and a subsequent increase in its price, analysts are sure. Bloomberg experts consider gold to be the most profitable exchange asset, emphasizing that since January of this year, its quotes have risen in price by 15%. To date, the precious metal has added $ 250, rising to $ 1,725 per ounce. On Thursday, May 28, gold is trading near $ 1722– $ 1723 per ounce.

Experts pay attention to the suspension of the gold rally, which was fixed during the pandemic. Analysts at Deutsche Bank do not expect too much growth in the price of precious metals but believe that periodic bouts of gold weakness do not indicate dangerous trends. The bank believes that buying a yellow metal during a pandemic is a very profitable acquisition, and those investors who invest in a key precious metal act for the future, with the expectation of an upward trend.

Experts agree that in times of crisis gold is the most reliable protective asset from an investment point of view. In conditions of economic downturns, the popularity of yellow metal is growing exponentially, and its rate is becoming a "gold mine" for investors in every sense of the word.

The growing demand for the main precious metal contributes to the favorable forecasts of analysts. Leading experts at major investment banks, such as Goldman Sachs and Bank of America, unanimously foreshadow the rise in gold prices to $ 2,000– $ 3,000 per ounce. According to analysts, a significant appreciation of gold will occur in the next two years. According to the forecast of Deutsche Bank, in the fourth quarter of 2020, the bank's strategists expect the precious metal price to rise to $ 1800 per troy ounce.

According to experts, in the short and medium-term, gold will start a price run to set a new record. In the long run, the yellow metal can exceed the level of 2011, when it reached an impressive $ 1921 per ounce. Analysts recommend that investors allocate 10% of their investment portfolio to a key precious metal in order to minimize risks and balance profitability.