Precious Metals Market Update: November 29, 2025
Gold Prices Surge Amid Fed Rate Cut Speculation
Gold prices have experienced a significant uptick, reaching over a one-week high as of November 26, 2025. This surge is primarily driven by growing expectations that the U.S. Federal Reserve will implement an interest rate cut in December. Spot gold rose 0.8% to $4,162.99 per ounce, while U.S. gold futures for December increased by 0.6% to $4,165.20. Analyst Edward Meir noted that the market's focus has shifted towards the potential rate cut, especially amid speculation that Kevin Hassett, an advocate for lower rates, may be nominated as the next Fed chairman. The probability of a rate cut has significantly increased to 85%, up from 30% a week earlier, according to the CME FedWatch tool. reuters.com
Silver Prices Reach 14-Year High
Silver has outperformed gold, with prices jumping above the $40 per troy ounce mark for the first time in 14 years. This rise is buoyed by the increase in gold prices and a decline in the gold/silver ratio to 85, the lowest level so far this year. The previous significant undervaluation of silver relative to gold has attracted investors to the silver market, which is expected to be undersupplied for the fifth consecutive year. Silver ETFs have recorded inflows of nearly 2,100 tons since the end of May. fxstreet.com
Platinum and Palladium Prices Climb
Platinum and palladium have also seen significant price increases. Platinum reached its highest level in over a month at $1,650 per troy ounce, driven by expectations of interest rate cuts and news from China. The Guangzhou Futures Exchange began trading in physically settled platinum and palladium futures contracts, which is likely to generate corresponding demand for these metals. fxstreet.com
Investor Sentiment and Market Outlook
The precious metals market is currently influenced by several macroeconomic factors, including expectations of U.S. Federal Reserve interest rate cuts, central bank demand, and supply constraints. Deutsche Bank has raised its gold price forecast for 2026 to $4,450 per ounce, up from a previous estimate of $4,000, citing steady investor interest and sustained central bank demand. reuters.com
Investors are closely monitoring upcoming U.S. economic data, such as retail sales and jobless claims, which could further influence the Federal Reserve's decisions and, consequently, precious metal prices. The market remains sensitive to geopolitical developments and economic indicators, making it essential for investors to stay informed and consider diversification strategies in their portfolios.
Current Precious Metal Prices
| Metal | Price (USD) | Change (%) |
|---|---|---|
| Gold | $4,185.34 | +0.7% |
| Silver | $53.98 | +1.0% |
| Platinum | $1,645.60 | +2.3% |
| Palladium | $1,433.20 | -0.4% |
Source: Reuters
As the market continues to navigate economic uncertainties and policy changes, precious metals remain a focal point for investors seeking stability and potential growth.
