Gold prices in the year of 2025 are likely to be cautious depending on policy shifts under a second Donald Trump presidency.
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Analysts expected the factors supporting bullion in 2024 to persist into 2025, though they also cited potential headwinds from Trump policies that could stoke inflation and slow Federal Reserve rate cuts.
«Gold is in a secular bull market, but the direction of travel won’t be as one-directional in 2025 as in 2024,» said Nicky Shiels, head of metals strategy at MKS PAMP SA.
«Peak political fear is behind us following Trump’s decisive win… Central Bank buying trends will continue at a similar pace in 2025, but flows will remain more discreet given the threat of Trump tariffs on countries perceived to be actively de-dollarizing.»
Bullion thrives in low-interest-rate environments, acting as a hedge against economic and geopolitical risks. The rally lost momentum in November as the dollar strengthened on «Trump euphoria.»
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