Precious Metals Performance Amid Global Uncertainty

Updated 2/7/2026 9:00:00 AM

Precious metals recorded strong and broad-based gains in 2025, reflecting global economic uncertainty, geopolitical tensions, and a shift toward safe-haven assets. Gold led the rally, while silver and platinum posted sharper percentage increases due to supply constraints and rising industrial demand. Price movements were not linear, with periods of correction, particularly in early 2025. By year-end, all three metals closed well above historical averages, setting a high base for early-2026 trading and increasing market sensitivity to macro and policy signals.

In this factsheet, we explore the factors behind the movements of global precious metals prices in 2025 and early 2026.

Gold prices rose from $2,709.7 per ounce in January 2025 to $4,309.2 in December, marking around 60% increase over the year. The surge was driven by sustained central bank purchases, weaker real interest rates, and heightened geopolitical risk. Early 2025 saw temporary price corrections as markets reassessed monetary policy expectations, but buying momentum strengthened from mid-year onward.
In January 2026, gold prices rose sharply during the first half of the month before retreating toward month-end. Prices increased by roughly 13% between January 1^st, at $4,322 per ounce, and their late-January peak of $4,862. The surge was linked to renewed geopolitical tensions and strong purchases by central banks. However, reports indicated that Trump would nominate Kevin Warsh—widely viewed as a more market-friendly and predictable choice than other potential candidates—gold, silver, and platinum prices declined simultaneously. Despite this pullback, end-January prices remained well above early-month levels.
Silver prices climbed from $30.4 per ounce in January 2025 to $62.3 by December, representing a 105% increase. Unlike gold, silver’s performance was supported by both investment demand and industrial use, particularly in renewable energy and electronics. Supply shortages amplified price movements, making silver more volatile throughout the year. The metal closely followed gold during periods of risk aversion but outperformed during growth-driven rallies.
Silver recorded an exceptional rise in January 2026, gaining an estimated 58% between January 1^st and its monthly peak of $114 per ounce. Prices moved beyond most institutional forecasts, driven by speculative demand, tight supply conditions, and spillover effects from gold’s rally. The rapid increase was followed by a sharp correction in the final days of the month as investors locked in gains. Despite this decline, silver closed January significantly above its opening level, maintaining strong momentum into early 2026.
Platinum prices doubled in 2025, rising from $949.2 per ounce in January to $1,893.4 in December. The rally was driven mainly by supply constraints in major producing countries and stronger investor demand amid the broader precious metals uptrend. While industrial demand remained broadly stable, limited supply tightened market conditions. Momentum carried into January 2026, with prices gaining an estimated 25–30% before turning volatile.

By: Amina Hussein