Singapore investors are increasingly turning to gold as a safe-haven asset amid rising global uncertainties and expectations of U.S. interest rate cuts. Gold prices surged to a new record high of US$4,059.30 per ounce on October 13, fueled by renewed U.S.-China trade tensions and falling Asian stock markets.
The U.S. administration’s new 100% tariffs on Chinese goods and export controls on critical software have heightened global economic uncertainty. These developments, combined with the ongoing U.S. government shutdown and potential rate cuts by the Federal Reserve, have driven strong demand for gold and silver. Spot gold has risen 54% in 2025 so far, following a 27% increase in 2024, while silver reached a record US$51.52 an ounce.
In Singapore, retail investors have sharply increased their holdings in gold-related assets, including ETFs and physical gold. UOB reported that gold purchases through its savings accounts rose 65% year-on-year, while physical gold demand climbed 42%. Shares of local gold miner CNMC Goldmine have also surged by more than 440% this year, reflecting robust investor confidence.
Analysts expect the momentum to continue. Market strategists project gold could reach US$4,200 by mid-2026, with some forecasts as high as US$4,500 in the next 12 months. Longer-term predictions even suggest gold could touch US$10,000 per ounce by 2028, underscoring strong faith in the metal’s enduring value as a hedge against uncertainty.
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