This is an important chart - Why Gold ? Central Banks buying.

Gold has more than doubled since 2024, running up from $2000 or so to over $5000 and now hovering around $4300.

One of the reasons behind the move was Central Banks stepped up its buying of gold.

Frankly, it is part of the de-dollarization trade i.e. USA has made no effort to control its budget deficits + it is targeting different countries at will (if you are not lucky, USA will bomb you or a more mild version of rebuke from USA is seizing your assets or freezing your bank accounts)... Thus why would central banks around the world want to hold more US treasuries/USD ? See Pic 2.

Pic 1 is an important chart. It shows more central banks intend to add to their gold holding in 2026. These incremental buyers are not stepping back from buying more gold.

Remember gold production doesn't grow much yoy, the rising interest from central banks will be supportive of gold price.

A longer term driver is when normal people or funds want to buy more gold to store away or speculate... We had a brief surge when folks were queueing in Martin Place.... If one were older, remember the old days, when it was more prevalent to buy gold coins and stash them away ? Maybe one day, saver/investor psyche will want to have more gold....

My base case remains at some point in the coming years gold will get back to its high in 2025 (over $5000).... The small gold miners in Australia will prove to be good investments.

PS... Usual disclaimer.. Personal opinion only. Not financial advice.