Golden Surge: Gold Prices Poised to Break Record by 2025

Gold prices on the Comex exchange are expected to hit USD 3,600 per troy ounce by 2025-end, driven by global economic factors and investment trends. The growth is bolstered by central bank purchases, steady ETF inflows, and a strong shift to digital gold investments in India.

Gold prices are poised for another record leap, with projections suggesting an increase to USD 3,600 per troy ounce by the close of 2025, as per Ventura's latest report. This follows a peak of USD 3,534.10 in early August, overtaking the previous high set in April. A troy ounce, a weight measure notably used for precious metals, equals 31.1034768 grams, noted by the U.K. Royal Mint, and is marginally heavier than the typical avoirdupois ounce.

The Comex exchange in New York, known for trading metals like gold and silver, parallels India's Multi Commodity Exchange (MCX), the largest in the country, offering domestic investors insights into global price changes. NS Ramaswamy, Ventura's head of commodities, attributes this bullish outlook to gold's enhanced strategic value in portfolios amid global economic uncertainties. Inflation, a weakening US dollar, and potential interest rate cuts are expected to support rising gold prices through 2025, along with strong ETF inflows, consistent central bank purchases, and robust retail participation in India.

In India, the trend towards digital gold investments is seeing unprecedented growth. Gold ETFs, a popular investment vehicle, saw a 42% year-on-year increase in holdings as of June 30, 2025, reaching 66.68 tons. Their Assets Under Management (AUM) skyrocketed 88% to Rs. 64,777 crore, with investor accounts jumping by 41% to 76.54 lakh, thanks to the shift from traditional to tech-enabled investment models driven by younger, digital-savvy generations. Globally, gold demand in the second quarter of 2025 was robust at 1,249 tons, a 3% rise from the previous year, as investment and ETF demand offset decreased jewelry sales. Central banks have continued to add gold to their reserves, raising global holdings to 36,345 tons with India's reserves standing at 880 tons.

Gold has shown remarkable investment resilience over the past two decades, marking positive returns in 14 of those years. Notably, it has achieved an average annual return of 23% over the last three years, outstripping the Nifty 50 index's 11% return.

(With inputs from agencies.)