Ahead of the upcoming release of the latest United States Consumer Price Index (CPI) data, gold is in a wait-and-see mode, consolidating the previous week’s late rebound, and the most popular artificial intelligence (AI) models have offered insights on its potential price once the CPI data is out.
Indeed, the price of gold remains close to record highs after recording massive swings amid increased volatility across financial markets in the week before, waiting for further interest rate clues after CPI, an important indicator expected to show slightly slower inflation in July, comes out.
ChatGPT gold price target
In this context, Finbold has asked the OpenAI brainchild ChatGPT-4o to provide predictions on the potential gold price following the CPI data release, and the popular AI model has offered a price target between $2,100 and $2,200 per ounce “if the CPI reflects lower inflation or deflationary pressures.”
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On the other hand:
“In scenarios where the CPI indicates higher inflation, gold prices might increase as investors typically see gold as a hedge against inflation. In such a case, expert predictions suggest that prices could climb towards the higher end of forecasts, potentially around $2,500 per ounce or more if economic conditions support it.”
Meta AI gold price target
At the same time, the AI assistant by Meta Platforms (NASDAQ: META), called Llama 3.1, has offered a bearish (low inflation) scenario in a range of $2,300 to $2,380, and a bullish (high inflation) scenario that places gold price between $2,500 and $2,600.
In terms of a neutral (in-line inflation) outcome:
“Should the CPI data align with expectations, gold prices might experience moderate fluctuations. Technical analysis suggests that prices could oscillate between $2,400 and $2,480, influenced by support and resistance levels, as well as investor sentiment that might not significantly shift in this scenario.”
Google Gemini gold price target
Similarly, the generative conversational AI innovation by Alphabet (NASDAQ: GOOGL), called Google Gemini, has offered three potential scenarios and hypothetical price ranges based on whether the upcoming CPI results exceed, meet, or end up below expectations:
Gold price analysis
Meanwhile, the price of gold at press time amounted to $2,446.49 per ounce, which suggests a 1.5% decline from its all-time high (ATH) of $2,446.49 per ounce from July this year but, nonetheless, a 0.54% increase on its daily chart, a drop of 0.48% across the week, and a 0.36% gain over the past month, as per data on August 12.
So, how much is a gold bar worth at the moment? Right now, gold measured in the form of a one-kilogram gold bar is worth $78,643.24. And how much is a gram of gold? Notably, one gram of gold currently costs $78.63, according to the most recent information.
When inflation escalates, cash devalues, which increases demand for gold as protection against inflation, providing support for gold prices. Hence, it should be no surprise if the price of the yellow metal responds to the CPI data according to one of the AI models’ expectations.
Elsewhere, Bloomberg’s commodities expert Mike McGlone has observed that gold is “outperforming the AI-driven S&P 500 on a year-to-date, one- and two-year basis to Aug. 9, which may portend an inordinate burden for beta to keep rising and avoid deflationary forces worth of the inflation to the 2022 peak,” as per his X post on August 12.
However, trends in financial markets can easily change, so doing one’s due diligence, including careful research, detailed risk analysis, and keeping up with any relevant news, developments, and indicators, is critical when investing larger sums of money in any asset.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
