Gold prices were steady on Wednesday, rounding off a historic year that has put the precious metal on track for its strongest annual gain in more than four decades.

Spot gold was unchanged at $4,345.75 per ounce by 0404 GMT, after touching a record high of $4,549.71 last Friday. Meanwhile, US gold futures for February delivery slipped 0.5% to $4,365.00 per ounce.

Bullion has surged an impressive 66% in 2025, marking its biggest yearly rise since 1979, a period marked by major geopolitical shocks including the Iranian revolution. Analysts say this year’s rally has been driven by multiple factors, including US interest rate cuts, expectations of further monetary easing by the Federal Reserve, persistent geopolitical tensions, heavy central bank purchases, and rising investment in gold-backed exchange-traded funds.

While gold remained resilient, other precious metals faced sharp pullbacks as investors booked profits after a record-breaking run. Spot silver fell 4.5% to $73.06 per ounce after hitting an all-time high of $83.62 earlier this week. Despite the drop, silver is up more than 150% this year, its strongest performance on record.

Platinum declined 6.1% to $2,065.80 per ounce after reaching a lifetime high on Monday, while palladium slid 7.1% to $1,496.75 per ounce, though both metals remain sharply higher for the year.

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Analysts linked the recent retreat to thin holiday trading, higher futures margins, and a stronger US dollar. Looking ahead, some experts believe gold could test the $5,000 level by early 2026 if current trends persist.