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A big and relief news has come out for the people who are planning to buy gold. After the fall in gold prices in the last few days, there was some movement in the market, but experts believe that it is currently difficult for gold to reach the height it was at in January 2026. The latest report of international research unit ‘BMI’ (Fitch Solutions) has made it clear that now the pace of gold is going to slow down. According to the report, the average price of gold, which was earlier estimated to be $ 4,600 per ounce, has now been reduced to $ 4,400. At present, gold is around $4,026, which means that a maximum rise of only 9 percent can be expected.

Dollar strength and interest rates game

The biggest reason behind keeping gold prices under control is the strength of the US dollar. The mathematics of the international market is simple—when the dollar strengthens, gold becomes expensive for countries with other currencies, which automatically reduces demand. BMI says that if the dollar index reaches between 105 to 110, then the path of increase in gold prices will be completely closed.

Apart from this, the mathematics of interest rates also remains a problem for gold. Since no interest is earned on investing in gold, investors are now running towards safe bonds. The decision by the US central bank not to cut interest rates has reduced the attractiveness of gold.

Demand for gold decreased due to global peace

The decreasing tension in the world has also dulled the shine of gold. Risks in global trade have reduced since the agreement between America and Iran. With the energy crisis averted and the global economy expected to grow at a rate of 2.4 percent, investors are now abandoning gold and choosing riskier but more profitable options like the stock market. If trade through vital routes like the Strait of Hormuz continues to operate smoothly, demand for gold could see a further decline.

Will prices fall completely?

Of course the pace of gold has slowed down, but it does not mean that there will be a big fall in gold prices. Central banks around the world are still buying gold on a large scale, which gives a base to its prices. The movement of gold in the future depends entirely on the decisions of the US Federal Reserve. If the Fed reduces interest rates, gold could go back above $4,500. At the same time, if the dollar strengthens further, prices may fall to $ 3,500 an ounce.