LBMA Shares Q1 Precious Metals Market Report
The London Bullion Market Association (LBMA) just released their Precious Metals Market Report: Q1 2025. Here are some of their findings:
– Gold and silver markets experienced significant growth in Q1 2025, with gold reaching unprecedented heights. Gold began the year at $2,644.60, still below its October 2024 record. After Donald Trump’s inauguration on January 20th, fears of new trade policies triggered a rush to build physical gold inventories in New York, with reports of 393 metric tonnes moving into Comex vaults – a 75% increase to levels not seen since 2022.
– This demand pressure created a brief premium for New York gold ($60 above London prices) and sparked rumors about London’s supply capabilities. Though London vaults showed a 2.41% decline through February, inventory levels stabilized and even increased slightly (0.14%) by quarter-end.
– The gold price climbed steadily from mid-January, reaching an all-time high of $3,120.20 on March 31st – representing a quarterly gain of 17.8%. This performance exceeded most analysts’ expectations, with Goldman Sachs revising year-end forecasts from $3,000 to $3,300, while Macquarie Bank suggested $3,500 might be possible in Q3.
– Silver posted a strong 15.52% gain in Q1, though lagging behind gold. Indian silver imports surged 37% year-over-year in January to 875 tonnes, the highest since 2008. Unlike gold, London silver vault holdings declined significantly, falling 14% from 827,544,000 oz to 711,396,000 oz during the quarter.
