Gold Demand Set to Decline in 2026 as Supply Rises, but Average Price to Hit Record $4,920 – Metals Focus

Metals Focus forecasts modest growth in global gold supply in 2026 from higher mine output and recycling. Demand will however drop due to double-digit declines in jewelry and central bank purchases, offset by stronger buying of bars and coins that will become the largest demand segment for the first time. The annual average gold price is seen surging 43% to a record $4,920. In 2025 gold rallied 44%, mine production reached 3,817 tonnes and net central bank purchases totaled 848 tonnes, while jewelry fabrication fell 19% to 1,646 tonnes. Matthew Piggott noted that US policy uncertainty and geopolitical risks will drive further price highs. Mine supply is expected to rise 2.4% to 3,907 tonnes in 2026 with jewelry output declining another 11%.