London, Dec 18 (V7N) — Gold has recorded its most significant rally since the 1979 oil crisis, with prices doubling over the past two years. The 2025 surge in bullion prices has defied conventional expectations, as such a rapid increase would normally trigger forecasts of a substantial market correction. However, various global factors are sustaining investor interest in the precious metal, suggesting that prices may continue to climb.

Market analysts from JP Morgan, Bank of America, and consultancy Metals Focus project that gold could reach $5,000 per troy ounce by 2026. The outlook is supported by an expanding pool of investors seeking safe-haven assets amid global economic uncertainty. Rising inflation rates, expansive U.S. monetary policies, and geopolitical tensions, including the ongoing war in Ukraine, are driving this unprecedented demand.

Central banks have also been actively increasing their gold reserves, adding further support to the market. Analysts note that the growing role of gold in investment portfolios, including exchange-traded funds (ETFs) and institutional holdings, has contributed to a more sustained rally compared to previous commodity surges.

Despite record highs, short-term volatility is expected due to factors such as changes in U.S. interest rate policies, currency fluctuations, and potential shifts in investor sentiment. Market experts advise investors to closely monitor global macroeconomic developments, noting that gold’s appeal as a hedge against inflation and geopolitical risk remains strong.

This surge marks a turning point in the gold market, reflecting not just traditional economic drivers but also heightened geopolitical uncertainty and evolving investment behavior, making gold a central focus for global investors in 2026 and beyond.

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