Gold may rise as high as 2,950oz in 2025, report says
It says silver is undervalued compared to gold
Electric vehicle shift could pressure palladium
Dec 10 Reuters Gold could extend its record run into 2025 as further interest rate cuts from major central banks and the prospect of a weaker dollar will boost demand for the safehaven asset, Heraeus Precious Metals said on Tuesday.
Heraeus expects gold prices to range from 2,450 to 2,950 per ounce in 2025, influenced by continued buying by major central banks, albeit in lesser quantities than in 2024, geopolitical risks in Ukraine and the Middle East.
Gold, often used as a safe store of value during times of political and financial uncertainty, tends to appreciate on expectations of lower interest rates, which reduce the opportunity cost of holding the nonyielding asset.
If the Chinese government39;s economic stimulus measures boost the economy, China and India could provide a solid basis for gold demand in 2025, the company said in a report.
China39;s central bank resumed buying gold for its reserves in November after a sixmonth pause, official data by the People39;s Bank of China PBOC showed on Saturday.
With the return of Donald Trump as U.S. president, there is likely to be more uncertainty regarding trade and tariffs, which should also support the gold price, said Steffen Metzger and Stefan Staubach, who have been leading the precious metals division of Heraeus.
Gold has surged more than 29 this year and…