Gold and silver prices are expected to rise in 2023 amid a weaker U.S. dollar and the Federal Reserve’s easing of monetary policy, analysts believe.
The London Bullion Market Association’s (LBMA) annual survey of 30 analysts pointed to cautious optimism about the prices of the metals. Experts expect gold and silver to be 3.3% and 8.8% more expensive on average by the end of this year compared to 2022.
Among the key factors that may trigger higher prices, 43% of respondents named the decline of the U.S. dollar and the Fed’s monetary policy, while 14% mentioned inflation and 11% mentioned geopolitical factors.
Analysts predicted an average gold price of $1859.90 per troy ounce, but the range remains wide at $1594 to $2025 per ounce. That range is in line with last year’s forecast, the LBMA notes. The average gold price in 2022 was $1800.09 per ounce.
Silver prices this year are expected to rise to $23.65 an ounce from $21.73 an ounce in 2022. The lower end of the forecast is $17.50 an ounce and the upper end is $27.
Analysts are much less optimistic about palladium prices where they expect a 14.3% decline to $1809.80 per ounce in 2023. The average price in 2022 will be $2112.06 per ounce.
Meanwhile, platinum prices are expected to rise 12.5% this year from the 2022 average price of $1080.4 per ounce. The forecast range is $988-1241 per ounce.
