Citigroup has raised its near-term gold price forecast to $3,000 per ounce within the next three months, reflecting growing geopolitical tensions and trade uncertainty linked to policies under Donald Trump.
Gold is currently trading around $2,867.15 and has seen a strong rally driven by several factors: concerns about a slowing global economy, persistent high interest rates, and the risk of new tariffs. These conditions have pushed investors toward safe-haven assets like gold.
Analysts at Citigroup point to roughly a 20% probability that gold could be affected by a proposed 10% global tariff, which would encourage London dealers to move metal to the U.S. market. That potential shift, combined with forecasts for increased central bank purchases—especially in emerging markets aiming to defend local currencies against a stronger dollar—supports the bank’s bullish outlook.
Citigroup keeps a 6–12 month price target of $3,000 per ounce and has raised its average price target for the year to $2,900. Ongoing geopolitical developments, including recent comments around Gaza and discussions about possible new agreements involving Iran and Ukraine, are bolstering demand for gold as investors seek protection amid uncertainty.
Overall, Citigroup’s upgraded forecast reflects a mix of trade-related risks, currency dynamics, and heightened geopolitical friction, all of which are key drivers behind the recent surge in gold prices and the elevated expectations for further gains.