Gold Surpasses US$4,000, Silver Soars 70% in 2025 Rally

Gold prices remained above US$4,000/oz on Oct. 9 as investors weighed the ceasefire agreement between Israel and Hamas. Broader geopolitical and economic uncertainty, combined with expectations of interest rate cuts in the United States, continued to fuel bullish sentiment toward the metal.

Spot gold traded flat at US$4,035.07/oz, while US December gold futures slipped 0.4% to USD 4,054.60. On Oct. 8, gold surpassed US$4,000 for the first time, reaching a record of US$4,059.05. Meanwhile, Silver rose 1.6% to US$49.65/oz, marking a year-to-date gain of more than 70%, supported by the same factors boosting gold, along with a tightening physical market.

“What is interesting about silver is that net long positions have only slightly increased, so this rally is not being driven by speculative interest. There are very solid fundamentals behind this price movement,” said independent analyst Ross Norman.

The dollar index hovered near a two-month high, making bullion more expensive for foreign buyers.

Geopolitical risks, including the Middle East crisis and the war in Ukraine, along with strong gold purchases by central banks, ETF inflows, expectations of US rate cuts, and economic uncertainty linked to tariffs, have fueled gold’s rally. The metal has gained more than 53% this year and is on track for its strongest annual performance since the 1979 oil crisis.

Among other precious metals, platinum rose 0.1% to US$1,664.44, while palladium gained 2.1% to US$1,480.22, hitting a more than two-year high.