Goldman Sachs(US:GS) Jin Shi Shu Ju·2025-09-04 04:40Group 1 - Goldman Sachs indicates that if the credibility of the Federal Reserve is compromised, gold prices could rise to nearly $5,000 per ounce with just a small shift of investor holdings from U.S. Treasuries to gold [1][2] - Analysts predict that gold prices could reach $4,000 per ounce by mid-2026 under baseline forecasts, and in a "tail risk scenario," prices could hit $4,500 per ounce [1] - Gold has been one of the best-performing major commodities this year, with a price increase of over one-third, driven by central bank purchases and expectations of an impending rate cut by the Federal Reserve [1][2] Group 2 - The expectation of a rate cut by the Federal Reserve has been fueled by a cautious approach from Chairman Powell, with an important U.S. employment report potentially supporting the case for lower rates [2] - Concerns about the independence of the Federal Reserve have intensified due to President Trump's escalating attacks, which could lead to currency depreciation and increased debt costs [2] - Berenberg's economist warns that continued political pressure on the Federal Reserve could result in a weaker dollar and higher long-term borrowing costs, which may prompt a reaction from Trump [2]