Gold Prices Set to Continue Bull Run Through 2025
Global gold prices are projected to maintain their upward momentum, potentially reaching $4,400-$4,500 per ounce next year, according to MTS Gold Group. The bullish outlook is driven by persistent geopolitical tensions, economic uncertainties, and robust central bank buying.
Key Price Projections
- Global prices: $4,380 per ounce by end-2025, up from current levels
- Local Thai prices: 67,000-68,000 baht per baht-weight
- Year-to-date gain: 52%
Drivers of Gold’s Strength
The ongoing US-China trade negotiations represent a key catalyst for gold’s performance. “If there is no meaningful progress, gold prices will have room to rise further,” said Keeradit Hirunyasiri, Chief Operating Officer of MTS Gold Group.
Several structural factors are supporting gold’s upward trajectory:
De-dollarisation Trend
The global shift away from US dollar dependence in international reserves and transactions continues to bolster gold’s position as an alternative store of value.
Delayed Rate Cuts
With the US Federal Reserve expected to maintain higher interest rates for longer, investors are increasingly turning to gold as protection against monetary tightening and economic volatility.
“With rates expected to stay higher for longer, global investors are increasingly turning to gold as a hedge against prolonged monetary tightening and economic volatility,” said Mr Keeradit.
Central Bank Accumulation
Reserve managers across both emerging and developed economies continue to actively add gold to their portfolios, providing strong fundamental support.
Risk Aversion Fuels Demand
Concerns about renewed trade conflicts, fragile supply chains, and heightened geopolitical tensions are driving risk aversion, prompting increased flows into safe-haven assets like gold.
Advice for Local Investors
For investors who purchased gold at peak levels and are currently facing losses, Mr Keeradit offered cautious optimism. Prices may see further gains within the next 1-2 months, potentially providing exit opportunities for those looking to realize profits.
The combination of structural economic shifts, central bank support, and ongoing global uncertainties suggests the gold bull run has further room to continue through 2025.
