Precious Metals Shine in Unpredictable 2025 Market

Amid 2025's turbulent financial landscape, precious metals emerged as standout performers, overshadowing other traditional safe havens. Silver, platinum, and gold saw substantial gains, driven by strong central bank demand. In contrast, crude oil prices fell, and many traditional defensive assets underperformed, including bonds and consumer staples.

In a year filled with market turbulence and geopolitical tensions, precious metals were the clear winners in 2025. Silver and platinum more than doubled in value, and gold saw a significant rise of over 60%, marking its biggest increase since the 1979 oil crisis.

This impressive performance outstripped the approximately 20% gains in global equity indexes. Despite fears of a speculative bubble, the demand for precious metals was fueled by central bank buying and their importance in the tech industry.

Meanwhile, traditional safety plays like bonds and consumer staples faltered. Bonds, typically a safe bet, saw minor losses, and the famed 'digital gold' Bitcoin finished the year in the red. The dollar also weakened amid various geopolitical challenges.

Amidst these conditions, the U.S. aerospace and defense sector showed significant gains, reflecting an undercurrent of rearmament in Europe. The Japanese yen, another traditional safe haven, struggled as well.

(With inputs from agencies.)