Leading Swiss bank UBS remains bullish on gold prices and predicts it’s on the way to breaching the $3,000 mark. The leading investment bank forecasts that the glittery metal could reach the threshold in the next three months. The bullish divergence stems from the growing demand for gold from retail investors, institutional funds, and central banks.

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In addition, gold is seen as a safe haven during Trump’s trade wars that could affect the normal flow of the global markets. The glittery metal has not lost its appeal since 2022 and the demand for it remains intact. Gold prices have surged 9.15% year-to-date and are among the top performers in the broader commodity markets.

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Gold On Track to Hit $3,000: UBS

UBS wrote in its recent report that gold prices are on track to breach the $3,000 mark during Q2 of 2025. The prediction indicates that it could reach there in three months as early as May this year. Gold prices are currently trading at the $2860 mark and have sustainably scaled up in the indices for two years.

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“While we acknowledge the current spot price of $2,870/oz is above our fair-value estimate, gold’s enduring appeal as a store of value and hedge against uncertainty has again proven itself,” UBS strategists led by Mark Haefele said in the research note.

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In addition, even global investment bank Citi wrote that gold prices will reach $3,000 sooner than expected. Citi also forecasted that the XAU/USD index could reach $3,000 in the next three months. Read here to know more about Citi’s recent price prediction on gold’s prospects.

Since the last year, gold prices have surged a massive 40% in the charts. It is among the top-performing assets in the commodity markets along with silver and the US dollar. The trio is dominating the charts with investors making a beeline to accumulate the assets.