Could Goldman Sachs Be Right About a $5,000 Gold Supercycle?
Goldman Sachs warns Trump’s Fed meddling could send gold soaring to $5,000 an ounce.

In the ever-volatile world of commodities, gold is stealing the spotlight once again, and not just because of its timeless shine—President Donald Trump's persistent jabs at the Federal Reserve might just propel the yellow metal to dizzying heights. According to a fresh note from Goldman Sachs, if Trump's efforts to meddle with the Fed's independence gain traction, gold prices could surge toward a staggering $5,000 per troy ounce, as investors flee dollar-denominated assets in search of safer harbors. This bold forecast comes amid gold's already impressive rally, with the metal climbing roughly 35 percent year-to-date and recently touching an all-time high above $3,560 an ounce.
The drama unfolds against a backdrop of mounting political uncertainty and concerns over U.S. debt, which have already driven central banks and savvy investors to stockpile gold as a hedge. Goldman analysts, led by Daan Struyven, co-head of global commodities research, paint a picture where compromised Fed autonomy sparks higher inflation, slumping stock and bond markets, and a gradual erosion of the dollar's status as the world's reserve currency. In such a scenario, gold emerges as the unflappable store of value that doesn't hinge on institutional trust—think of it as the financial equivalent of a Swiss Army knife in a world of butter knives.
