RBC Global Mining Equities has revised its gold price outlook, predicting stronger gains for the precious metal through 2025 and beyond. The firm's updated forecasts reflect increasing mining costs, monetary policy considerations, and broader economic factors.

Updated Gold Price Forecasts

Key Drivers Behind the Forecast

• Machine Learning Insights: RBC's revised model integrates new year-to-date (YTD) data and updated economic indicators.
• Mining Cost Increases: Rising production costs have contributed to higher medium-term forecasts.
• Monetary Policy Outlook: Forecasts assume stable monetary policy with no immediate recession risk.

Potential Scenarios for 2025

• Bullish Scenario: In the event of a recession and aggressive monetary easing, gold could climb to $3,300/oz by year-end.
• Bearish Scenario: Conversely, if economic conditions improve unexpectedly, prices could drop to $2,700/oz.

Gold Equities and Investment Sentiment

• Gold Equities Performance: Up 23% YTD, outperforming gold's 11% YTD gain.
• ETF Outflows: Despite strong equity performance, investor sentiment remains cautious, with gold equity ETFs experiencing record withdrawals.

Investment Takeaways

• Neutral Gold Prices for 2025: RBC suggests current gold prices (~$2,900/oz) align closely with their 2025 outlook, implying limited upside unless economic risks intensify.
• Equity Opportunity: The investment bank sees potential in gold equities, particularly those focused on capital returns and dividend growth.

API Integration for Real-Time Gold Data

For investors tracking gold prices and mining equities, Financial Modeling Prep's API offers valuable endpoints:

Commodities API - Access real-time gold price updates.