Gold Eyes Fresh Highs as Demand Returns
Gold prices are regaining momentum as renewed investment demand and steady central bank purchases push the metal closer to record levels. Analysts say concerns over rising inflation, increasing global debt, and economic uncertainty are encouraging investors to turn toward gold as a safe-haven asset. Major financial institutions such as UBS and JP Morgan forecast gold could reach around $6,200–$6,300 by the end of the year, while other banks maintain bullish outlooks.
The precious metal saw a strong rebound after a sharp two-day correction caused by market reactions to the appointment of Kevin Warsh as the next U.S. Federal Reserve Chair, a stronger dollar, and profit booking. Spot gold recently surged significantly, marking one of its biggest daily gains in years. Experts view the earlier price drop as a healthy correction, with physical demand, especially from major markets like China, expected to help stabilise prices in the coming months.
Meanwhile, silver remains more volatile due to its smaller market size and dependence on retail investment flows. Although silver previously reached record highs, it experienced a notable decline after easing supply concerns and reduced fears over U.S. tariffs. Analysts note that the price correction could support industrial demand, particularly in the solar sector, by easing cost pressures.
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