Daijiworld Media Network - New York

New York, Mar 18: Gold prices could witness a massive and sustained surge, potentially reaching $6,000 per ounce by the end of this year and $10,000 by the end of the decade, according to noted economist Edward Yardeni.

Despite the strong rally in gold since early last year, Yardeni said prices are likely to remain elevated, viewing the precious metal as a key indicator of a broader rise in global commodity prices.

He attributed the bullish outlook to ongoing tensions in the Persian Gulf, which he believes could disrupt global supply chains and trigger a wider commodity upcycle.

“Gold is consolidating around $5,000 and may climb to $6,000 by year-end,” Yardeni said, adding that it could reach $10,000 by the end of the decade. He noted that gold is signalling a broader inflationary trend across commodities.

The economist pointed out that alongside rising oil prices due to geopolitical tensions, prices of aluminium and fertilisers have also surged due to supply constraints linked to the conflict.

He warned that prolonged high oil prices and limited availability of fertiliser inputs could affect agricultural output. Farmers may face increased costs during planting seasons, potentially leading to lower yields and higher food prices in the coming months.

Yardeni also suggested that the White House may consider policy adjustments, including reducing tariffs, to ease price pressures ahead of upcoming elections. He noted that existing tariffs have contributed to rising prices of steel, copper, and aluminium.

The outlook indicates potential ripple effects across global markets, with rising commodity prices expected to impact inflation and consumer affordability worldwide.