Gold prices should hit $4,000 as U.S. deficits may overshadow the Israel-Iran conflict, BofA says
Wars and geopolitical conflicts typically aren’t long-term growth drivers for gold prices, according to analysts at Bank of America , which sees the precious metal reaching $4,000 an ounce over the next year. Despite the Israel-Iran conflict heating up, the outlook for gold is likely to be swayed more by the U.S. budget deficit. Gold is often seen as a safe-haven asset during times of global turmoil, but wars and geopolitical conflicts typically aren’t long-term growth drivers for gold prices, according to analysts at Bank of America. In fact, gold has actually dipped 2% in the week since Israel began its air strikes on Iran. Meanwhile, tensions are ramping as reports Saturday said B-2 stealth bombers are headed over the Pacific. That’s as President Donald Trump weighs involvement in the conflict, potentially with bombers dropping massive “bunker busters” on heavily fortified Iranian nuclear sites. In a note on Friday, BofA analysts said they expect gold prices to reach $4,000 p...
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