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Gold Set for 'Much More Modest' Growth in 2025, World Gold Council Says



World Gold Council Predicts "Much Slower" Growth for Gold in 2025

Gold prices are expected to experience more modest growth in 2025, following a record-breaking year in 2024, according to the World Gold Council's 2025 outlook. After reaching multiple record highs and delivering its best annual performance in a decade, gold is set for slower growth next year. The 28% surge in gold prices through November was driven by central bank and investor buying, with slowing consumer demand, particularly from China, partially offsetting these gains.


Key Points:

  • Gold saw a 28% rise in 2024, fueled by central bank and investor purchases.

  • 2025 will likely see more modest growth for gold, driven by macroeconomic factors.

  • A potential rise in central bank acquisitions or worsening financial conditions could push gold prices higher.

  • A reversal or pause in the U.S. Federal Reserve's rate-cutting cycle would dampen gold demand.

  • China and India remain major gold markets, making up over 60% of demand outside central banks.


Looking ahead to 2025, the World Gold Council suggests that while gold may see slower growth, it could still benefit from increased central bank acquisitions or an economic downturn driving demand for safe-haven assets. However, a pause or reversal of the Fed's rate-cutting plans could reduce investment demand for gold. The performance of the U.S. dollar, interest rates, and China’s role in the gold market will be key factors in determining future prices.


Gold is expected to see more modest growth in 2025 after an impressive 2024.

  • Slower growth expected for gold in 2025.

  • Central bank demand and market conditions could drive prices higher.

  • Fed policy reversal would hurt gold demand.

  • China and India remain crucial to gold's market.


Factors like central bank purchases, changes in financial conditions, and the Fed's policies will significantly influence demand for gold.

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