Sebi proposes linking gold, silver ETFs to domestic spot prices

Gold prices can rise up to 15 per cent from the current level in a bull-case scenario, reaching $3,839 an ounce level by the end of 2025, translating into an annual return of 40 per cent, suggests a recent note by the World Gold Council (WGC).

- PUNEET WADHWA

"Should economic and financial conditions deteriorate, exacerbating stagflationary pressures and geoeconomic tensions, safe-haven demand could significantly increase, pushing gold 10-15 per cent higher from here," the WGC said.

In its base-case scenario, the WGC expects gold to remain range-bound in the second half of calendar year 2025 (H2CY25), closing roughly 0-5 per cent higher than current levels, equivalent to a 25-30 per cent annual return. It believes H2CY25 will keep investors on the edge on account of geoeconomic uncertainty. While US inflation data have shown signs of improvement, concerns remain that conditions could deteriorate quickly.