Is gold at risk of further price falls this year?

Is gold at risk of further price falls this year?

The price of gold may have peaked and could average less than $2,000 an ounce this year amid signs of an economic recovery and stronger US dollar, according to a new analysis.“We now expect slightly higher US nominal and real yields, a less dovish Fed and a moderate rise in the dollar. All negatives for gold prices, so we think that gold prices have peaked,” Georgette Boele, senior foreign exchange and precious metals strategist at ABN Amro said in a research note.The precious metal tumbled sharply for four straight days last week and settled under $1,800 an ounce. Analysts attributed the price falls to a strengthening greenback and rising US Treasury yields.In its revised gold price forecast, ABN Amro said the bullion could average $1,800 an ounce in March but post further declines in the coming months. By December 2021, prices could be around $1,700 an ounce.“The outlook has deteriorated sharply. We no longer expect higher gold prices,” Boele noted.Mixed viewsHowever, the current sentiment in the market remains mixed, with some industry sources calling for the bullion to post gains over the next few days.In Kitco's new gold survey, 64 percent of analysts said the yellow metal could rise this