Driven by a mix of falling real yields, central bank purchases, a weakening U.S. dollar, and ongoing global economic uncertainty, gold has surpassed $4,000 per ounce for the first time in 2025. Investor demand has been strong, with US-listed gold ETFs receiving nearly $33 billion and total global ETF inflows exceeding $57 billion. These trends highlight gold’s continued role as a hedge against market volatility.
While gold is performing well in the short term, experts caution that it has historically underperformed equities over the long term. Timing and market context are crucial, and investors should consider gold as a protective asset rather than a growth engine. Rising inflation, interest rate changes, and geopolitical uncertainty continue to influence gold prices, making it attractive for portfolio diversification but less ideal for long-term wealth accumulation compared with stocks and other growth assets.
The Cardiff Connection
As a leader in financial services and small business lending, Cardiff provides clients with clear, actionable insights into market trends, including commodities such as gold. Dean Lyulkin, Founder of The Dean’s List and CEO of Cardiff, uses data-driven analysis to help investors and business owners understand how economic shifts impact asset performance and portfolio risk. By translating market trends into practical guidance, Cardiff enables clients to make informed decisions that strike a balance between protection and growth.
Aligned with its mission to empower clients through clarity, speed, and transparency, Cardiff goes beyond financing solutions. The firm helps investors navigate volatility and maintain financial resilience, ensuring clients can proactively respond to economic changes and pursue long-term stability with confidence.
