Donald Trump may be stealing headlines, but his comeback could make gold the real star — central banks are ramping up their stockpiles and quietly ditching the dollar.
The Goldman Sachs trading desk is taking note: its November prediction for central bank and institutional gold demand in London’s over-the-counter market hit a whopping 117 tons — more than double a previous estimate of 46 tons.
For scale? That’s a Boeing 757 fully loaded with gold bars.
The big numbers pushed Goldman to increase its forecast for average central bank monthly purchases from 38 to 41 tons of gold until mid-2026.
This translates to stronger demand, higher prices and bigger gains for gold investors.
Read more: It’s US stocks, Bitcoin or nothing for 2025
The dollar dilemma
What’s going on? Well… central banks have been binging on bullion as they try to escape the dollar’s grip.
The greenback’s role as a geopolitical weapon — think sanctions and frozen assets — has countries looking for alternatives.
Emerging markets in particular are saying “no thanks” to the dollar’s dominance. Trump’s “America First” mantra isn’t helping.
Globally, central banks scooped 1,037 tons of gold in 2023 — just shy of 2022’s record 1,082 tons. China led the charge in November, snapping up 50 tons, according to the Goldman trading desk.
The more protectionist Trump is, “the worse it will be for probably every asset class, except for gold and perhaps US value stocks,” says Louis-Vincent Gave, founding partner and chief executive officer at Gavekal Research.
Read more: Gold’s got wings, don’t sleep on it
Any bright ideas?
Gold crushed it in 2024. It outperformed every single asset class for the first time in 13 years, barring the pandemic. It beat the S&P 500 with a handy 26.7% gain.
And it’s not looking so different this year too. It’s still shining, up 4.4% vs the S&P 500’s 2.8% gains this year.
UBS Global Wealth’s Mark Haefele calls gold a reliable hedge against Trump-era volatility. Even Bank of America recommends going long on gold as the dollar hits its peak.
It might not top the charts in 2025, but gold still ranks among the year’s top five assets, according to BofA’s Fund Manager Survey, trailing US stocks, global equities, Bitcoin and government bonds.
Want the full breakdown on gold as the ultimate Trump-proof play?
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Edited by Ankush Chibber. If you have any tips, ideas or feedback, please get in touch: talk-to-us@moniify.com
