Gold demand set to stay strong in 2026 as risks persist: World Gold Council
Rising geopolitical tensions and shifting monetary policy expectations are reinforcing gold’s investment role
With economic and geopolitical instability showing little sign of retreat in 2026, momentum from last year’s strong gold demand was likely to persist this year, the London-based World Gold Council (WGC) said on Thursday.
Gold investment demand across sectors was expected to remain firm, underpinned by anticipated US Federal Reserve rate cuts, the prospect of a weaker US dollar and the reduced appeal of bonds as risk premiums rise, the WGC said in its outlook.
“The continued rally in spot gold prices so far this year underscores the surging safe-haven demand amid geopolitical tensions and trade risks,” said Ray Jia, the WGC’s head of research for Asia-Pacific ex-India and deputy head of trade engagement for China.
“The rally in gold prices is also acting as a catalyst for further investment and is likely to attract more market participants,” he said.
“The current rally in gold prices is by no means accidental and is certainly driven by underlying factors,” said Roland Wang, regional CEO for China at the WGC. “There have been periods in history where gold saw even steeper price surges.”
