The gold price outlook on February 28 stays constructive for Singapore investors. ING cites structural supports such as central bank gold buying, persistent geopolitics, potential Fed rate cuts, and the prospect of renewed gold ETF inflows. Goldman Sachs has also lifted its 2026 target, reinforcing a longer-term bull case. While intraday swings can be sharp, the medium-term drivers remain intact. For Singapore portfolios in SGD, we focus on position sizing, cost control, and execution to turn these themes into practical decisions.

ING’s support case: what still drives bullion

ING argues demand from official institutions remains a key backstop. Central bank gold buying diversifies reserves away from currencies and reduces reliance on US rates. Geopolitical tensions also support strategic holdings. These forces limit downside when momentum cools. For investors here, steady official demand helps keep the gold price supported through cycles, which can make small, recurring allocations more resilient.

If US growth slows and the path points to Fed rate cuts, real yields and the dollar can ease. That typically benefits the gold price by lowering the opportunity cost of holding bullion. The MAS manages SGD via an exchange-rate band, so USD moves flow through to local returns. We see dips into quiet liquidity windows as opportunities to scale positions rather than chase spikes. See ING’s view source.

Goldman Sachs raises its 2026 outlook

Goldman Sachs has revamped its multi‑year outlook, lifting its 2026 target as it factors softer growth, potential Fed rate cuts, and scope for renewed gold ETF inflows. The bank also highlights ongoing reserve diversification and geopolitical risk. While targets are not guarantees, they frame medium-term probabilities. For sentiment, a higher house view can support the gold price on pullbacks. Details: source.

Raised targets often reinforce trends by improving confidence among asset allocators, CTAs, and discretionary funds. That can tighten physical markets and lift the gold price during periods of low liquidity. Still, investors should separate narrative from execution. Use targets as context, not timing tools. Blend them with signals like real yields, USD moves, and ETF flow direction before adjusting position size or cash buffers.

Market-structure watch: lessons from the silver hiccup

A recent CME outage during a key silver rally sparked confusion, as reported by Kitco, and reminds us that pipes matter as much as narratives. Disruptions can distort futures prices, spill over into OTC quotes, and briefly skew the gold price. Singapore investors trading during Asia hours should assume the chance of short data gaps. Stagger orders and avoid chasing thin candles when liquidity looks patchy.

For ETF buyers, watch bid-ask spreads, NAV premiums or discounts, and creation-redemption activity. Temporary dislocations can appear when futures venues face issues while Asia cash markets remain open. Use limit orders, and review tracking difference before committing larger sums. If spreads widen, scale entries. For gold price exposure, consistency beats perfect timing. Patience and sizing help avoid paying up when markets are stressed.

Practical positioning for Singapore investors

Keep gold to a clear role, often 3% to 7% of a diversified portfolio, rising toward the upper bound when inflation or growth risks build. Most funds are USD based, so check FX costs versus potential SGD-hedged share classes if available. Review total expense ratios, brokerage fees, and custody. For the gold price, focus on all-in cost per S$10,000 rather than headline charges alone.

Use dollar-cost averaging for core exposure, then add tactically on weakness when real yields ease or gold ETF inflows improve. Place limit orders during Asia hours, and avoid illiquid pre-market sessions. Predefine max drawdown per trade and keep dry powder. The gold price can move fast around US data and Fed meetings, so align adds and trims with a written plan that you can stick to.

Final Thoughts

The near-term noise aside, today’s setup still favors a constructive gold price view. ING points to lasting supports from central banks, geopolitics, and a friendlier rates path. Goldman Sachs’ higher 2026 target strengthens the medium-term narrative. For Singapore investors, convert that view into process: right-size exposure, keep costs tight, and prefer limits to market orders. Use dollar-cost averaging for the core, and add on dips when real yields soften or ETF flows improve. Watch liquidity and spreads, especially around US macro releases. A clear plan, not headlines, should drive each allocation and adjustment.

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The content shared by Meyka AI PTY LTD is solely for research and informational purposes.  Meyka is not a financial advisory service, and the information provided should not be considered investment or trading advice.