How to invest in gold in 2025: Key factors to consider
Tue Jan 07 2025
Gold remains a focal point for investors navigating the uncertainties of the global economy. While the previous year saw strong performance for precious metals, the outlook for 2025 hinges on several factors, including interest rates, central bank activities, and geopolitical tensions. Experts predict a reliance on gold as a hedge against economic volatility but temper expectations for returns.
Let’s explore what to expect in the gold market and how investors can adjust their strategies for the year ahead. Gold prices to benefit from falling interest rates and Central Bank activity
Kirtan Shah, Founder of Credence Wealth, expects gold prices to remain supported in 2025 due to a combination of falling interest rates and substantial buying by central banks.
“These factors will continue to support gold this year,” Shah notes. While 2024 has been a standout year, Shah anticipates more moderate returns for 2025. He suggests a reasonable return expectation of 10-12% for gold investments. However, Shah remains cautious about other commodities.
Their performance in 2025, he points out, will depend heavily on China’s economic policies and any major stimulus measures. Recent efforts from China to stimulate its economy have had limited success, making other commodities less attractive for investment. As a result, investor focus is expected to remain firmly on gold and silver, which continue to show resilience.
Source: https://www.cnbctv18.com/