Recent surges in gold prices have led to long lines outside gold retailers nationwide. The cost of gold reached an unprecedented level on Friday, with the price per ounce soaring to more than $6,700. This marks a remarkable 70% increase in just this year.
These queues reflect the growing demand for gold, driven by its record-breaking price, as seen across the country.
Earlier in 2025, acquiring an ounce of gold would have been approximately $2,500 cheaper. Notably, nearly half of this price increase occurred in the last month alone.
This upward trend isn’t limited to gold. Silver has also seen significant growth, shattering a 45-year record on Tuesday by reaching $80.77 per ounce.
“This year’s price movements, particularly over the past month, have been the major talking point,” commented a market analyst.
“I would caution buying into the narrative that it’s been central bank buying. I think that was a story in 2022, 2023, and 2024,” he said.
“So the traditional driver of demand has dropped away, which really leads to that point that it is retail demand. It’s investors racing to buy bullion from shops.”
Will gold prices fall?
In an article in The Conversation, Luke Hartigan, a lecturer in economics at the University of Sydney, noted that “ongoing demand from Russia and China” could also lead to further increases in prices.
