The opening price of gold (GC=F) futures on Friday was $4,340 per troy ounce, which was almost identical to the closing price of $4,341.10 on Wednesday.
In early trade, the price of gold surpassed $4,400. Based on the opening price of $2,633 on January 2 and the closing price of $4,341.10 on December 31, gold ended 2025 with a 65% gain.
It was the best year-over-year performance for the precious metal since 1979. One motivator was the ongoing high demand for gold from central banks around the world.
Gold is being used by banks to diversify away from the US dollar, which is no longer as popular as it once was as a basic asset.
The demand for gold as a safe haven is also supported by geopolitical danger. Tensions between the United States and Venezuela as well as the conflict in Ukraine contributed to the increase in gold prices in 2025.
The precious metal's surge could be rekindled by fresh unrest in the Middle East. On Tuesday, Saudi Arabia blasted a shipment of arms from the United Arab Emirates in Yemen.
