Fidelity's Timmer: Gold Fair Value Reaches $5,000 as Focus Shifts to Liquidity

Fidelity’s Director of Global Macro Jurrien Timmer stated that gold’s fair value has already hit around $5,000 per ounce. In his view, the metal has moved from a focus on real rates to a liquidity-driven trade. Timmer noted in his LinkedIn analysis that gold rose as the global liquidity profile began recovering. His regression model between global M2 and gold prices indicates the yellow metal is already worth about $5,000. The analyst highlighted the 2022 regime shift from real rates to liquidity. He also pointed to Treasury buyback actions that weakened the dollar and lifted gold and Bitcoin, signaling risks of fiscal dominance and potential loss of Fed independence. Loose fiscal and monetary policies are clearly negative for the dollar yet positive for gold and Bitcoin, according to Timmer.