Gold and Silver Reach New All-Time Highs … Again

With barely two weeks left in 2025, gold and silver are setting new all-time highs … again.

After setting their previous all-time highs on October 20th, both metals took a short “breather,” lasting less than two weeks, before rising again. For a week or so, gold fell below $4,000 and silver retreated below $50, but now both metals have risen above those suspected “resistance levels” and climbed toward new all-time highs. Silver is now over $60 an ounce, more than doubling in this calendar year – and hitting $65 overnight between last Thursday night and Friday morning.

Why the sudden rise to new highs? On the surface, pundits claimed that precious metals are being helped by a “surprisingly dovish” report from the Federal Open Market Committee (FOMC), which lowered interest rates another 0.25% this past Wednesday. As a result of declining U.S. dollar interest rates and continued deficit spending, the U.S. dollar continues to weaken, with the U.S. Dollar Index (DXY) down 10% this year and 2% since Thanksgiving week, including a full 1% drop since the Fed lowered its Fed funds rate last week.  The stock market also retreated sharply late last week, with the S&P 500 falling from 6,900 to 6,800 (-1.5%)

One of the things making the gains in gold, silver and platinum so outstanding is that other key commodities keep declining. At week’s end, crude oil prices continued to fall, down to $57.50 a barrel, which is a drop of 23% in the past six months, since reaching $75 per barrel on June 18, 2025. In those same six months, Bitcoin prices are also down 14%, while gold has risen 28% and silver is up by 68%.  

The difference between precious metals and crude oil comes from simple supply and demand. With the Trump Administration operating under a “drill, baby, drill” mantra, the supply of crude oil is rising, while demand remains fairly stable, pushing oil prices down. By contrast, the supply of newly mined silver and gold is shrinking, while the demand for both metals is clearly rising.

Gold rose by another $100+ per ounce this past week, reaching a new record high of $4,385 on the futures market on Friday, December 12, and platinum also rose by $100 per ounce (+6%). However, silver was the biggest story, rising nearly 10% to $62 per ounce and at one point exceeding $65 on the futures market (for December 2025 delivery). The Dow Jones index also reached an all-time high but the broader S&P 500 and NASDAQ fell last week after the Federal Reserve’s rate cut. By Monday morning, silver has eclipsed $63 an ounce.