Gold prices could surge to $4,000 an ounce by the end of next year, according to Fidelity International, as

a more dovish U.S. Federal Reserve,
a weaker dollar,
and continued central bank buying

drive demand.

Ian Samson, a multi-asset fund manager at the firm, said they remain bullish on the metal, with some portfolios doubling their 5% gold allocation after prices dipped from April’s record highs above $3,500.

The firm sees a clearer path to lower U.S. interest rates, making gold more attractive. Seasonal weakness in August and ongoing geopolitical tensions — including trade uncertainty under President Trump and conflicts in Ukraine and the Middle East — also support diversification into gold.

While gold has risen over 25% this year, recent price action has been range-bound as easing trade tensions slightly reduced haven demand. Still, Samson warned that Trump’s tariffs amount to a significant tax burden on the U.S. economy and could ultimately slow growth, reinforcing the case for holding gold.

This article was written by Eamonn Sheridan at investinglive.com.