Gold price forecast 2025: Motilal Oswal's caution after record highs

New Delhi: The gold prices have been rising at a good pace between 2019 and 2025. Financial services providing company Motilal Oswal regularly releases its reports on gold prices. Now, the brokerage firm has released a report in which they have mentioned that the phase of a big rise in yellow metal prices has probably ended. It advised that the investors planning to invest in the precious metal will have to proceed cautiously.

According to a report of Motilal Oswal, the brokerage firm had adopted a bullish stance on gold in 2019 itself. At that point of time, gold rates were around Rs 30,000 per 10 grams. Since then, the firm kept increasing its target price of gold and kept predicting higher levels in its reports.

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Gold crossed the level of Rs 50,000 and by 2023, prices reached around Rs 69,000. In 2025, gold price came close to the target of about Rs 1,02,000.

Geopolitical tensions and uncertainty (e.g. Russia-Ukraine war, Iran-Israel conflict)

Slow pace of interest rate cuts by central banks

Gold purchases by central banks

Dollar index weakness

Gold prices continue to get support in the domestic market

The collective effect of all these factors was seen in the rally of gold

The latest report of Motilal Oswal mentioned that gold price would only jump when big triggers come in the market. It stated that signs of 'market fatigue' have started appearing at the highest level. The company has suggested that without any major signal or strong trigger, prices would not appreciate and there is a possibility of stagnation or correction in the prices of yellow metal for some time.

Meanwhile, some analysts said that gold prices are likely to remain range-bound in the coming week and traders will keep a close watch on Federal Reserve Chair Jerome Powell's speech and global PMI data from major economies, including the US, UK and Eurozone.

"Gold prices are seen consolidating in a range over the past couple of weeks amid a lack of fresh triggers and recovery in the US Dollar in the given period," Pranav Mer, Vice President, EBG - Commodity & Currency Research, JM Financial Services, said