Gold prices have been on a steady rise this year, and analysts at Societe Generale (Socgen) are now predicting that the metal will reach an unprecedented price of $6,000 per ounce by the end of 2023. This marks a significant increase from their previous forecast of $5,000 per ounce, which they had predicted just a few months ago.

The analysts at Socgen attribute the sudden surge in gold prices to a combination of factors, including central banks’ increasing appetite for gold reserves, geopolitical tensions and macroeconomic uncertainty. They also note that gold has historically performed well during times of economic stress, making it an attractive investment option for investors seeking shelter from potential market volatility.

While $6,000 per ounce may seem like a lofty prediction, Socgen’s analysts argue that it is a conservative estimate, given the current market conditions. They point to recent events such as the ongoing COVID-19 pandemic and the resulting economic downturn, which have led to increased gold demand from central banks and investors alike.

Furthermore, Socgen’s analysts highlight the potential for gold prices to rise even higher in the event of a global recession or other major economic shock. They note that gold has historically performed well during times of economic stress, and that its price could potentially surpass $6,000 per ounce if such an event were to occur.

Of course, it’s important to remember that gold prices can be volatile and subject to a wide range of factors, including supply and demand, geopolitical events, and macroeconomic trends. As such, Socgen’s predictions should be taken as a rough guide rather than a definitive forecast.

Nonetheless, the analysts at Socgen are confident in their prediction, citing the current market conditions and historical performance of gold as evidence that the metal could reach new heights in the coming months. As always, investors should do their own research and consult with a financial advisor before making any investment decisions.