FX.co ★ Gold Heads for Best Year Since 1979

Gold prices surpassed $4,360 per ounce on the last day of 2025, highlighting an extraordinary year of gains and setting the stage for the metal's most robust annual performance in over 40 years. This year, gold has climbed by an impressive 66%, primarily driven by a surge that began late April following the implementation of global tariffs by President Donald Trump. The upward trend has been further bolstered by ongoing geopolitical tensions, reductions in US interest rates, significant purchases by central banks, and increased investments in gold-backed exchange-traded funds (ETFs). Additionally, minutes from the Federal Reserve's December meeting released on Tuesday indicated that most members would support rate cuts if inflation remains on a downward trend, though there was still disagreement about the timing and scale of such reductions. On the geopolitical front, ongoing uncertainties surrounding a potential Russia-Ukraine peace agreement, renewed conflict in the Middle East, and tensions between the US and Venezuela continue to drive demand for gold as a safe-haven asset.