Gold prices are expected to rise sharply in 2026, with international analysts now predicting a possible target as high as $6,000 per ounce. The outlook comes as global economic data continues to weaken and expectations grow for major central banks—especially the US Federal Reserve—to cut interest rates next year.

Why Gold May Rise Further

Experts say the key drivers behind the bullish forecast include:

1️⃣ Fed Rate Cuts Expected in Early 2026

Weak US economic indicators, falling retail sales, and declining consumer confidence have increased the chances of a Federal Reserve rate cut. Lower interest rates usually push gold higher as investors shift to safe-haven assets.

2️⃣ Dollar Weakness Supporting Gold

The US dollar index has slipped from recent highs, making gold cheaper for global investors. A weaker dollar historically strengthens gold demand.

3️⃣ Rising Recession Risks in Major Economies

Economic slowdown fears in the US, Europe, and China are leading investors to move toward safer assets like gold, silver, and government bonds.

4️⃣ Strong Buying From Institutions

Financial companies, including major funds and digital-asset firms, have continued to buy large amounts of gold. Experts say institutional buying is creating long-term price support.

What This Means for Gold in Pakistan

If international gold reaches $6,000, Pakistan’s domestic gold rates could also see a major jump due to the high dollar value and import pricing.

Economists estimate that if the rupee stays under pressure, gold in Pakistan could potentially rise above:

👉 Rs. 500,000 per tola in 2026
(if global prices hit the projected upper target)

Already in 2025, gold has remained above Rs. 420,000 per tola, reflecting both global trends and Pakistan’s inflation pressures.

Pakistan Market Outlook

Local jewellers say demand has slowed due to high prices, but investor interest remains strong as people look to protect their savings from inflation. Many buyers are waiting for price drops, but analysts warn that “major dips are unlikely until the global economy stabilizes.”

Bottom Line

Analysts believe gold is on track to remain bullish throughout 2026, with major upside targets between:

• $4,400 (short-term)

• $5,000–$6,000 (long-term into 2026)

If this trend holds, gold prices in Pakistan will likely stay elevated with new record highs possible next year.