The firm argues that the gold rally still has room to run

In a note on its commodities outlook, Goldman argues that the outlook for lower US yields and weaker equities "creates further upside risks to our gold forecasts with gold pushing towards $1,750 should the coronavirus be contained during Q1".

However, if the virus disruption stretches into Q2, "we see substantially more upside from here - towards $1,850, depending on the magnitude of global monetary policy response".

Adding that "we see such a rally being driven by the continued search for yield, increased demand for portfolio diversification and higher political uncertainty" with gold being "a strategic allocation to protect a portfolio from geopolitical risks such as the current outbreak, de-dollarization and negative real yields".

A lot of fancy words on offer by Goldman Sachs but the bottom line is that as long as yields still depressed and easing policy looks set to continue, gold will definitely find support one way or another. The coronavirus outbreak only serves to offer additional fuel to that.

Also, this key technical break is looking rather pretty for gold bulls: