The glitter of gold keeps getting brighter. The precious metal smashed through records, hitting a staggering $2,903.01 per ounce on February 10, 2025. That’s an 11% jump since January – and we’re barely into the new year. Let’s face it: gold is having a moment, and it’s a big one.
Gold’s meteoric rise continues, shattering records at $2,903.01 per ounce as investors rush to the ultimate safe haven.
Thank Donald Trump for some of this surge. His latest tariff threats sent investors scrambling for safety like teenagers at a horror movie. A 30-day tariff pause for Canada and Mexico provided only temporary market relief. Add in stubborn inflation at 2.9%, a Federal Reserve playing freeze-tag with interest rates, and a U.S. debt pile topping $36 trillion – and you’ve got yourself a perfect storm for gold bugs. Domestic prices have already breached Rs 85,000 per 10 grams.
Central banks can’t seem to get enough of the shiny stuff either. They’ve been on a shopping spree for three straight years, gobbling up over 1,000 tonnes annually. China’s been particularly busy, adding to its reserves month after month. Apparently, everyone wants a piece of the golden pie.
The numbers tell a story that would make any investor’s heart race. Global investment demand shot up 25% to 1,180 tonnes, while total annual demand hit a mind-boggling 4,974 tonnes. That’s $382 billion worth of gold changing hands – the highest value ever recorded.
Even ETFs got in on the action, adding 19 tonnes in just the final quarter of 2024. Goldman Sachs thinks we’re headed for $3,000 per ounce by year’s end. Some dreamers are even talking about $4,000 – though that might be getting ahead of ourselves. Supply’s up too, but only by a measly 1%. Turns out mining more gold isn’t as easy as printing more money.
Meanwhile, jewelry demand took a hit, especially in China, where it dropped 24%. Guess having the highest gold prices in history makes those fancy necklaces a bit less appealing.
But with geopolitical tensions rising and markets swinging like a pendulum, gold’s appeal as a safe haven isn’t going anywhere. The yellow metal’s just getting started.
