Gold prices on Asian trading on Wednesday for the first time in history exceeded $4,000 per ounce. Against this background, experts predict an increase in silver prices as well. The increase in interest in "safe assets" occurred amid political and economic uncertainty in the world, as well as expectations of interest rate cuts by the US Federal Reserve. This was reported by Investing.com, writes UNN.
Details
According to Investing.com, the spot price of gold rose by 0.6%, reaching an all-time high of $4010.84 per ounce, while December futures added 0.7%, reaching $4033.27. Thus, for the first time in history, the value of the precious metal steadily exceeded the $4000 mark.
Analysts explain the market's rise by several factors. Firstly, expectations of further cuts in the US Fed's key rate, which reduces the profitability of the dollar and stimulates demand for gold. Secondly, increased geopolitical tensions – particularly in France and Japan – fuel interest in "safe havens."
ANZ Bank experts note that investors are increasingly moving into gold-backed ETFs as a way to diversify risks amid stock market instability.
Amid rising gold prices, silver is also becoming more expensive. British bank HSBC has raised its silver price forecast, expecting the gold market rally to "spill over" to other precious metals.
The bank forecasts that the average price of silver in 2025 will be $38.05 per ounce, and in 2026 – $44.50, which is significantly higher than previous estimates. By the end of 2025, analysts expect quotes to reach $49, and in 2026 – up to $55.
In a note dated October 7, HSBC analysts emphasized that the silver market is on the verge of breaking its all-time high of $49.80 per ounce, set in May 2011. The price increase is supported by limited physical metal supply and sustained investment demand, which does not weaken even despite record price increases in 2025.
As of Wednesday, spot silver is trading at $48.83, representing a gain of almost 65% since the beginning of the year.
Recall
According to fintech expert and co-founder of Concord Fintech Solutions Olena Sosedka, the rising price of gold is a signal for the modern fintech market that although technology can make finance more convenient, trust is based on values proven over centuries. And geopolitical instability further enhances the importance of gold in the international market.
Wars, trade conflicts, unpredictable decisions of world leaders – all this creates an atmosphere of constant instability, in which gold becomes a universal insurance. So the jump in the value of gold is not just a financial event, it is a marker of investor confidence in the modern economy
She also added that the rising price of gold only means that investors are preparing for a weakening dollar. A weaker dollar makes gold cheaper for international buyers, creating a powerful incentive for its price to rise.