Gold prices projected to hit $3,600 in second half 2025 despite slump

CIBC Capital Markets has projected gold prices to average US$3,600 per ounce in the second half of 2025, despite the metal’s recent slump.

According to a news report seen by Zambia Monitor from Mining.comhttps://share.google/XnhcrF5v4BJUzLxtYon Monday, analysts at CIBC Capital Markets, led by Anita Soni, said the outlook for gold remains bullish due to heightened global uncertainty, which is increasing the appeal of alternative reserve assets.

“We continue to expect a positive macroeconomic setup for gold. We believe [US] rate cuts are likely and it’s a matter of ‘when and how fast’, not ‘if,” Soni stated in a report released last week.

Among the key drivers cited were anticipated interest rate cuts, elevated geopolitical tensions—particularly in the Middle East and Russia—and sustained central bank stockpiling.

“All this uncertainty has led to the acceleration of de-dollarization, supporting gold prices,” Soni added.

Gold, traditionally viewed as the ultimate safe-haven asset, has risen nearly 30 percent this year amid escalating global trade and geopolitical tensions.

In April, the precious metal hit an all-time high of US$3,500 per ounce. CIBC ’s forecast of US$3,600 per ounce would mark a further three percent upside from that record.

Back in December 2024, Soni’s team had projected an average gold price of US$2,800 for 2025—a figure already exceeded.

The analysts now expect the US$3,600 average to be sustained through 2026, before moderating to around US$3,300 in 2027 and US$3,000 in 2028.

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