Mumbai, Dec 25 || In a year marked by heightened global uncertainty, precious metals delivered exceptional returns for investors, with silver emerging as a surprise winner.
Silver prices surged by more than 137 per cent -- outperforming gold -- which also posted a strong gain of around 68 per cent this year.
With equity markets facing volatility, both metals strengthened their position as preferred safe investment options, but silver clearly outshone all traditional choices.
Gold’s strong performance was supported by geopolitical tensions, inflation concerns, and expectations of interest rate cuts by the US Federal Reserve.
A major driving force behind gold’s rally was steady buying by global central banks. For three consecutive years -- 2022, 2023 and 2024 -- central banks have purchased more than 1,000 tonnes of gold each year.
Alongside this, global investors continued to invest through gold ETFs, using them as a safe place to park funds.
Big global banks have turned increasingly bullish on gold’s outlook. Goldman Sachs has raised its 2026 year-end gold price target to $4,900 per ounce, citing strong central bank demand and ETF inflows.