Wells Fargo lowers gold price target amid rate concerns - Yahoo Finance

AI desk brief

Wells Fargo Investment Institute cut its 2027 year-end gold target to $5,200-$5,400/oz from $5,400-$5,600, citing higher interest rates and a stronger dollar as headwinds for the metal. The note still sees upside through 2027, but says gold’s lack of yield makes it less attractive as rates rise and the firmer USD offers an alternative store of value.

Offsetting those headwinds, Wells Fargo said central bank gold buying is recovering after a softer Q1 2026, while ETF inflows turned positive in July and strengthened in August as retail investors returned. The report also pointed to persistent geopolitical risk, fiscal and budget concerns, currency debasement and inflation pressure as supportive for safe-haven demand.