Gold to fall towards $ 1394 in H1 2020 if US tariffs rolled back – Morgan Stanley

Analysts at Morgan Stanley are seen rolling back their calls for higher gold prices in the first half of 2020 on expectations of a US-China trade agreement.

Key Quotes:

“H1 2020 outlook is for 1515 USD/oz.

The risk of gold falling toward its bear case of USD1394/oz in H1 of 2020 if tariffs are rolled back.

Lower prices will, though, attract buyers back in.

Expects a weaker USD to support gold near term.

Fed to hold through next year …. will pressure haven assets, benefit equities.”