For subscribers
Gold’s dip a mere blip in glittering rally hinting at global monetary shift
Despite its retreat, the price of gold has defied the usual headwinds. The surge looks more structural than cyclical.
Sign up now: Get ST's newsletters delivered to your inbox
Gold’s current bull market, which dates back to 2022, has defied the usual cyclical headwinds that hold back its price.
PHOTO: BLOOMBERG
It has been a banner year for gold bugs. Despite a 5 per cent correction on Oct 21, the yellow metal has been the best-performing asset class of 2025 so far. On Oct 20, its price crossed US$4,300 an ounce, an increase of around 60 per cent since the start of the year, outpacing all of the “Magnificent Seven” stocks that have driven the 15 per cent rally in the S&P 500. It has thrashed bonds, beaten Bitcoin, and even the world’s best-performing stock markets.
Gold’s current bull market, which dates back to 2022, has defied the usual cyclical headwinds that hold back its price. It’s famous for being an inflation hedge, typically rising when inflation goes up and then falling when inflation subsides.
