Gold price today: Gold rate remain low, experts predict target price for 2025

Gold prices on Thursday remained on the lower trajectory. Spot gold was steady at $3,373.69 an ounce. U.S. gold futures were down 0.1 per cent to $3,397.20. Average gold price seen rising 35 per cent to record $3,210/oz in 2025. Central banks worldwide are on track to buy 1,000 metric tons of gold in 2025, which would be their fourth year of massive purchases as they diversify reserves from dollar-denominated assets into bullion, consultancy Metals Focus said.

Gold prices are up on geopolitical tensions and economic uncertainty as U.S. President Donald Trump continues to roll out his tariff policies. The price rally has so far kept purchases by central banks, a crucial category of demand, unaffected with the first-quarter buying in line with the 2022-24 quarterly average, Metals Focus said in its annual report on Thursday.

"The drivers that have underpinned de-dollarisation in recent years remain firmly in place," the consultancy said.

"If anything, President Trump's unpredictable policy stance, his public criticism of (Fed chair) Jerome Powell and the deteriorating U.S. fiscal outlook have further eroded confidence in the U.S. dollar and Treasuries as ultimate safe-haven assets." "Elevated geopolitical tensions since the start of his administration have also curtailed the appeal of U.S. assets."

Accounting for almost one fourth of total demand, central banks are the third largest category of gold consumption after the jewellery sector and physical investment. In 2025, purchases from central banks are expected to fall by 8 per cent from last year's record high of 1,086 tons.

In January-March, Poland, Azerbaijan, and China - consistent buyers in recent years - led the officially reported buying, Metals Focus said, adding that steady inflows into Iran also suggest further purchases by the Central Bank of Iran. Meanwhile, jewellery demand for bullion has been hit hard by the price rally.

"I would say that the path of least resistance remains to the upside, despite today's sort of flat mode for gold trading. But I think this is more due to traders being in wait-and-see mode ahead of non-farm payrolls," said Ricardo Evangelista, senior analyst at brokerage firm ActivTrades.

"We stick to our price targets of USD 3,350 and USD 3,500 in 3 and 12 months time, reflecting first and foremost continued central bank buying as well as sound demand from safe-haven seekers," said Carsten Menke, analyst at Julius Baer.

FAQs

Q1. What are current gold prices?
A1. Spot gold was steady at $3,373.69 an ounce. U.S. gold futures were down 0.1 per cent to $3,397.20. Average gold price seen rising 35 per cent to record $3,210/oz in 2025.

Q2. Which countries are buying Gold?
A2. In January-March, Poland, Azerbaijan, and China - consistent buyers in recent years - led the officially reported buying, Metals Focus said, adding that steady inflows into Iran also suggest further purchases by the Central Bank of Iran.