Gold Hits $4,698 on Treasury Buy-Backs as Banks Lift Targets Toward $5,000
Updated
Updated · South China Morning Post · Aug 25
Gold Hits $4,698 on Treasury Buy-Backs as Banks Lift Targets Toward $5,000
3 articles · Updated · South China Morning Post · Aug 25
Summary
$4,698 an ounce marked a three-month high for gold on Tuesday, extending last week’s 5.1% jump after the Treasury expanded repurchases of long-dated bonds.
Bessent said the buy-back program would likely exceed $4 billion, reviving worries about Washington’s fiscal strain and dollar debasement that tend to boost gold’s appeal.
Morgan Stanley now sees gold at $5,000 by 2027, while Citigroup lifted its three-month target to $4,800 from $4,500 and ING warned of further upside this year.
Jackson Hole is the next catalyst: a dovish signal from Fed Chair Kevin Warsh could add support to bullion, which typically benefits when interest-rate expectations fall.