Kunal Shah, head of product research at Nirmal Bang, believes silver looks promising compared to gold in 2025. Aside from the gold silver ratio that favors the silver foundation, there is demand from clean energy, and the demand supply deficit etc. indicates that silver may be better than gold, resulting in a 15-20% return over a one-year period.
Meanwhile, gold is likely to continue to have medium-term safe shelter status, but he explained that anyone looking to invest in yellow metal at current levels should wait as most positives may be considered in the price in the short term.
At $3,200-3,250, there is little reason to believe the end of the gold rally, but it should bring some kind of profit, Narun said. Gold will continue to provide more stable revenues, similar to the insurance contracts investors should have in their portfolios, he added.
But Edward Yaldeni Research’s president, Edward Yaldeni, expects gold will continue to violate fresh highs, exceeding $4,000 by the ongoing end of the year. He told NDTV’s profits in an interview last week that he expects gold to rise to $5,000 by the end of next year and $6,000 by the end of the decade.
“The central bank has been a net interest buyer for the past 15 years, but purchases have skyrocketed over the past three years, with over 1,000 tons of purchases being purchased each year since 2022, reaching 1,045 tons in 2024.”
Geopolitical factors have driven this rise, including derailment, sanctions and inflation concerns. As global fragmentation continues, central bank purchases remain a strong pillar of demand, he said, and shapes the long-term dynamics of the market.
At the same time, investors in emerging markets are also playing a bigger role. In addition to this long-term trend, recent gatherings have been the result of uncertainty regarding US tariffs and the developing trade war, amplifying economic risks and market volatility, further promoting gold investors’ interest as a major diversifying device.
“The big question now is whether gold can exceed $3,000. The increased risk and uncertainty certainly helps with emotions, but this needs to be converted to stronger purchases from investors, especially Western buyers, or another step up in central bank purchases,” Reade said.
Certainly, there is still a headwind against the silver. This includes the 2025 US Federal Reserve forecast timeline with only two rate cuts, which is not meeting previous market expectations, Kedia warned. If tensions in the Middle East continue to escalate and could drive safe home demand in the coming weeks, metals could find additional support from geopolitical risk premiums, he added.
