Metals Focus’ annual Gold Focus report projects an average gold price of $3,210 in 2025, a 35% rise that would eclipse its inflation‑adjusted 1980 high. The firm cites heightened economic and geopolitical uncertainty—including concerns around U.S. trade policy, sovereign debt, and sustained central bank buying—as the primary drivers behind the bullish outlook.
Central bank demand reached a record 1,086 tonnes in 2024 as monetary authorities continued diversifying reserves away from the U.S. dollar amid growing geopolitical risks and rising questions over America’s fiscal path. Renewed tariff measures and trade tensions linked to U.S. policy have dented global economic confidence, elevated recession worries and weighed on confidence in the dollar, all of which have supported gold’s safe‑haven appeal.
Despite already-high prices, overall gold demand has shown resilience. Strong buying by Asian investors has helped offset softer appetite in Western markets, and physical demand performed better than many analysts expected. In value terms, the report notes gains across regions, reflecting how investors and central banks have continued to accumulate metal at elevated price levels.
Metals Focus expects continued record‑setting behaviour through the year as macroeconomic uncertainty and geopolitical tensions keep investor interest elevated. The report suggests that any price pullbacks are likely to be met by renewed buying, sustaining support for higher averages into 2025.