The 2025 will be remembered as the year when precious metals made a revolution. It was a surprise even to the experienced market watchers that both gold and silver have their strongest returns in the same year after 1979. On a year-to-date basis, gold went up by more than 68 percent, but silver was the one to significantly beat the market, jumping by over 130 percent.
The year 2025 has been a great one for investors who made an early bet on these metals. But, as prices are still very close to their record highs, a bigger question is hanging over the discussion what will be the next move, "Should Investors Risk Investing at the Highest Level?"
After the blockbuster returns of gold and silver, many investors are doubting whether there is still a potential for a 2026 rally or if the rally has come to an end. To find the answers, we have to see what global analysts and strategists are saying.
In their recent note, Goldman Sachs analysts Daan Struyven and Samantha Dart were very positive about the prospects for gold. They see the metal going as high as $4,900 an ounce in 2026 with the most likely scenario being that the price goes up rather than down. If we consider their point of view, it means that after such a great run, gold is still not finished with its surprises for the markets.
According to Wang Tao, technical analyst at Reuters, gold strength reflects more than just investor euphoria. Increased geopolitical tensions, trade uncertainties, steady central bank buying, and expectations of lower interest rates have been reinforcing its status as a safe-haven asset.
Markets are now pricing in two rate cuts by the US Fed. This is important because historically, lower interest rates tend to decrease the opportunity cost of holding non-yielding assets, such as gold and silver, thus often driving up prices. If these cuts materialize, both metals will test fresh all-time highs in 2026.
LMEA StoneX senior analyst Matt Simpson says he can only agree with this view, adding that a faster slowdown in US jobs data, coupled with a more dovish Fed, could place additional upside pressure on gold prices.
Looking beyond 2026, one of the most radical long-term predictions could be placed by market strategist Ed Yardeni. According to him, gold may ascend to $10,000 by the end of 2029, surpassing more than twice the value compared to the present levels due to fundamental economic and monetary changes.
On silver, Vandana Bharti, Head of Commodity Research of SMC Global Securities, feels that a correction of 15 to 20 percent can definitely happen in the short term. However, her outlook on the metal is strongly positive on a long-term basis.
In particular, this surge in gold and other precious metals has not been led by retail investors only. Governments and nations are also escalating their investments in precious metals. As Bharti has argued, investors should not miss the boat for gold and silver investments whether in physical form or paper form.
