Experts have strong confidence in gold prices this year

Looking back at gold prices last year

After rising nearly 30% in 2024 - outperforming virtually all commodities - gold prices still have the confidence of many industry experts, while the majority of retail traders expect the precious metal to surpass $3,000/ounce by 2025.

Spot gold started 2024 at around $2,000 an ounce and fell to a low of $1,992 in mid-February before a Valentine’s Day boost pushed prices back above $2,000. However, it was in late February that gold began to rally sharply, rising more than $60 in the last two days of the month and surpassing $2,100 on the first trading day of March.

After a period of consolidation at high levels, gold prices continued to rise sharply at the end of the month, surpassing the $2,200 mark in the final trading days. By mid-April, gold prices were close to $2,400 per ounce. But gold traders were not ready for that level, causing gold to fall below $2,300 by the end of April.

May brought new hope to the metals market. On May 16, spot gold broke through the resistance level of $2,400/ounce. However, after peaking near $2,426, gold entered its longest accumulation phase in 2024.

By June 10, gold had broken through $2,400 an ounce again, finding support this time, and began its most consistent rally of the year. Gold climbed steadily through the late summer and early fall, reaching a new record high of $2,788.54 an ounce on October 30.

After a slight correction, the US presidential election sent gold prices plunging. Gold fell from $2,743 an ounce on November 4 to around $2,560 in just 10 days.

However, gold prices found fresh support as US President-elect Donald Trump’s rhetoric on tariffs and trade wars, combined with inflation concerns, pushed spot prices back above $2,700 an ounce. While the precious metal has failed to surpass its October high, with some minor dips, support at $2,600 an ounce remains in place for the remainder of 2024.

What do experts predict about gold prices?

Kitco News’ annual gold survey shows strong confidence in the precious metal’s upside potential from retail investors, while major banks and industry experts largely see gold prices holding steady through 2025.

According to Kitco, 457 investors participated in Kitco News’ annual gold survey. The majority predicted the precious metal would set a new record high of trading above $3,000 an ounce by 2025.

266 traders (58%) expect gold to trade above $3,000 an ounce by 2025. Another 103 investors (22%) predict gold prices to fluctuate between $2,800 and $3,000 an ounce by 2025.

Only 30 people, or 7 percent, expect gold to peak in the range of $2,600 to $2,800. The remaining 58 traders, or 13 percent, expect gold prices to fall back to around $2,400 to $2,600 an ounce — levels seen in late summer and early fall 2024.

Economic data to influence gold prices next week

Tuesday: ISM services PMI (reflecting business activity in the services sector - the industry that makes up the majority of the US economy) and JOLTS job vacancies (a labor market survey report, announcing the number of jobs vacancies in the US).

Wednesday: ADP jobs report, FOMC meeting minutes

Thursday: US weekly unemployment report

Friday: US Nonfarm Payrolls, University of Michigan Preliminary Consumer Sentiment Index