Global gold and silver extend their record rally into 2026

Precious metals continued their strong momentum from 2025, with spot gold rising 0.9% to $4,351.70 an ounce and spot silver jumping 2% to $72.63 per ounce on Friday (January 2).

Gold marked its largest annual gain in 46 years last year, while silver recorded its highest-ever yearly increase.

Analysts attribute the rally to sustained central bank buying, robust inflows into exchange-traded funds (ETFs), geopolitical uncertainty, and concerns over currency and inflation trends.

Vishnu Varathan, head of macro research for Asia ex-Japan at Mizuho, said the metals rally highlights demand for “hedges against entrenching USD debasement risks.”

Inderbir Singh Jolly, CEO of PL Wealth, noted that gold’s performance reflects a structural shift in investor behavior.

“The rally is not driven by short-term speculation but by sustained investment flows and continued central bank purchases,” he said, adding that elevated geopolitical risks, stretched equity valuations, and currency volatility have reinforced gold’s role as a strategic hedge rather than a tactical trade.

Rajeev Sharan, head of research at Brickwork Ratings, highlighted silver’s historic surge, noting that a 140% increase last year mirrored gold’s strong performance and pointed to broader shifts in how investors and nations are positioning portfolios.

Looking ahead, analysts expect gold and silver to remain supported by underlying factors such as inflation, currency weakness, and geopolitical uncertainty, even as short-term consolidations may occur.

Gold is likely to hover in the $4,500–5,000 an ounce range, with silver continuing to benefit from sustained investor interest.

-With Reuters inputs