Gold has surged to over $2,500 an ounce, driven by expectations that the Federal Reserve will soon cut U.S. interest rates. This 21% increase in 2024 has made gold one of the top-performing commodities. UBS and ANZ predict further gains, with prices possibly reaching $2,700 by mid-2025. The recent price spike reflects falling real rates, increased hedge fund activity, and renewed interest in gold-backed ETFs. Indicators from China suggest some softening, with the People's Bank of China pausing its purchases and weaker local premiums.
