The gold price is facing new resistance around $2400. However, Sucden Financial predicts that the rise in gold prices is only a matter of time, with prices expected to rise above $2500 per ounce by the end of the third quarter.

The analysts of the institution stated in their quarterly outlook, "Due to the elasticity of physical demand, strong central bank acquisitions, easing inflation, and increased market volatility, the outlook for gold remains optimistic

Sukden Financial stated that due to geopolitical uncertainty driving demand for physical hedging, it is expected that the upward trend of gold will continue to receive good support.

Analysts also expect that gold consumption demand in key markets such as India will remain healthy. They pointed out that India accounts for 20% of global demand.

Analysts say, "In countries where the position of gold as a store of value has been established, expectations of strong economic growth in that country should be favorable for this precious metal

Sukden also expects that central banks around the world will continue to purchase gold by 2024, even if the pace of purchases slows down from the record levels set in the past two years.

At the same time, Sukden Financial remains optimistic about silver, despite silver prices struggling against the backdrop of steady gold price increases.

The company stated, "We expect the attractiveness of silver as a safe haven asset and an important industrial metal to increase. We expect silver prices to rise and exceed $32 per ounce in the third quarter of 2024." The company believes that the surge in industrial demand and the increase in electricity consumption highlight the key role of silver, and with the advancement of the artificial intelligence revolution, silver prices may rise.

Analysts say that the biggest factor supporting precious metal prices in recent times is still the solid expectation that the Federal Reserve will cut interest rates in September, which is in line with the company's expectations.

Daily chart of spot gold