Where to find investment outperformance in 2025? Defence stocks, Chinese internet companies and Warren Buffett’s Berkshire Hathaway have all beaten the market. But when the flight to safety is on, gold still gleams.
The precious metal has broken through $3,000 per troy ounce, just as it breached $2,000 during the financial crisis of 2008 and $1,000 in the pandemic 12 years later. It is unlikely to lose its lustre any time soon. It is the ultimate shock absorber: against geopolitical maelstroms, inflation and — as a non-yielding asset — lower interest rates.
This trio of latter-day horsemen is galloping across the horizon. Natural orders are being ripped apart as US President Donald Trump toys with ideas like modern-day colonisation, civil-service defenestration and swingeing tariffs. The latter could well tip the US into recession. Since November’s election US gold stockpiles have more than doubled.