Gold breaks the $4,400 mark and shows why it is back in the spotlight
Gold delivered impressive results in 2025. With prices above $4,400 per ounce, the precious metal reached a new all-time high, leaving many other asset classes behind. A gain of around 68 percent speaks for itself, in a year that has put gold back at the top of many investors' agendas.
But the stronger the rally, the more pressing the question becomes: Is this just the beginning or already the peak?
The perfect environment for gold
The market environment played into gold's hands. Falling real interest rates, ongoing geopolitical uncertainties, and doubts about the stability of individual economies meant that security was once again in demand.
Added to this was the perception that many stock markets are highly valued. In this environment, gold was seen less as a short-term trade and more as a strategic counterweight.
Central banks set the tone
The role of central banks is particularly striking. Countries such as China, Poland, and Turkey have significantly expanded their gold reserves. These purchases are not a short-term signal, but rather an expression of long-term diversification strategies.
When central banks buy, the markets listen carefully and often follow suit after a delay.
Investors are following suit
In addition to central banks, investors also provided additional momentum. Gold ETFs recorded strong inflows, while demand for bars and coins remained high. Crucially, the rally was driven less by speculative positions than by long-term allocations. This suggests a certain stability in the current price level.
Supply remains tight: recycling cushions the blow
There is little room for maneuver on the supply side. New mines do not spring up overnight, permits take years to obtain, and sustainability requirements are increasing. At the same time, recycled gold is gaining in importance, especially in Germany, where a large proportion of gold comes from recycling. Recycling thus acts as a buffer without flooding the market.
Gold remains in play
Many market observers also see good arguments for gold in 2026. Lower interest rates, geopolitical risks, and strong central bank demand point to continued tailwinds. At the same time, the market is likely to become more nervous: monetary policy surprises could trigger stronger swings.
Gold is starting the new year with considerable momentum. Whether this will result in a prolonged period of revaluation or a classic consolidation remains to be seen. However, one thing is clear: gold will remain a key issue for investors in 2026 and is likely to continue to cause movement.