Gold’s rally isn’t a sign of a commodity supercycle, Goldman Sachs says

By Huileng Tan – Business Insider

Gold’s powerful rally isn’t a sign that a broader commodity boom is taking hold, Goldman Sachs says.

The yellow metal has been on a record run, surging past $5,500 per troy ounce late last month before pulling back. Spot gold was trading around $4,993 per troy ounce at 10:53 p.m. ET on Sunday, up about 17% this year.

“We’re not expecting a super cycle where prices will just go higher forever,” said Lina Thomas, a senior commodities analyst at Goldman Sachs, on the firm’s “The Markets” podcast published on Friday.

That’s even as the bank maintains a positive outlook on bullion. “We’re still bullish gold,” Thomas said, adding that the bank is “expecting gold to go to $5,400 by the end of 2026.”