The firm reduced its gold forecast after a 20% drop from January’s record high amid rising rates and a stronger USD.
Yardeni Research lowered its year-end 2026 gold price target to $5,500 an ounce from $6,000, citing a 20% decline from January’s peak of $5,626.80. The cut follows a sell-off driven by higher U.S. interest rates, a stronger dollar, and geopolitical tensions, including the U.S.-Israeli conflict with Iran and rising oil prices.
Gold fell to $4,506.30 on June 1, extending a downward trend since January. The firm noted support at $4,580 but acknowledged persistent pressure from macroeconomic factors. Prior forecasts had anticipated stronger momentum, but speculative fever in early 2026 reversed amid shifting market conditions.
The adjustment reflects broader volatility in commodities, with silver down over 35% since its high. Gold’s inverse correlation with oil and the dollar has weighed on sentiment, though technical support levels remain a focus for analysts.