Gold miners could experience a surge in value beyond the first quarter of 2024 as prices for the precious metal have strengthened since the beginning of 2024, according to Jefferies.
Analysts suggests a potential average increase of 14% in target prices for gold miners despite a softer outlook for first quarter results.
“Gold stocks have performed well, but are not baking in this gold price on a sustained basis,” analysts wrote.
The research house’s base case gold price remains at $2,100 per ounce, with an upside potential reaching $2,600 per ounce, deemed “increasingly attainable” by analysts.
Jefferies’ new gold price regression model reveals that concerns surrounding fiscal matters and central bank purchases are counteracting high real rates, exerting a positive influence on the gold market.
In March 2024, the average performance of gold equities tracked by Jefferies went up 1.8 times the increase in the price of…
