(The Epoch Times)—This year has started off with a golden hue. Gold and silver have been among the best-performing asset classes in 2025, up 12 percent and 14 percent, respectively, year-to-date. Over the past two months, these precious metals have outperformed bitcoin, which was the best performing asset in 2024, and equity markets around the world. Gold looks positioned to easily top $3,000 in coming weeks, with silver similarly hitting all-time highs.
There are many reasons to believe that gold prices have further to run from here. Some of the biggest factors supporting a higher gold price include the ongoing accumulation of gold by central banks, persistent inflation, and a global supply shortage of physical gold.
Central banks, which hold as much as 20 percent of total global gold reserves, are key to the long-term growth in demand for the metal. In recent years, central banks around the world have been accumulating substantial quantities of gold. Net central bank acquisitions of gold topped 1,045 metric tons in 2024, marking the third year in a row of purchases above 1,000 metric tons. These figures reflect the publicly disclosed amounts; many observers believe that China and other countries are secretly acquiring gold well in excess of reported volumes. Most of the buying has come from outside of the United States and Western Europe. The four largest sovereign holders, the United States, Germany, France, and Italy, have been the exception to the gold rush led by the BRICS and other developing nations, and have not acquired additional reserves.
The reason for the failure of the United States and “Old Europe” nations to acquire more gold is simple. Most of them do not have the money. The United States, Italy and France are each deeply indebted, with debt to gross domestic product well in excess of 100 percent. These countries are forced to use proceeds of issuance of government securities to fund ever-growing government deficits, not to acquire gold or other valuable assets.
The rise in gold prices coincides with the decline in influence of the global reserve currency. The weaponization of the U.S. financial system which began in earnest in 2022 motivated many nations to diversify their sovereign holdings away from the U.S. dollar. Gold has been the primary beneficiary. The inverse is also true. Central bank purchases of gold have come at a cost to the U.S. dollar. For several years, countries around the world have been selling U.S. Treasuries held in their foreign reserve accounts to fund their gold purchases. This has made borrowing by the U.S. Treasury more expensive. Tying alternative payment mechanisms to gold collateral has put pressure on the U.S. dollar’s role in world markets.
Inflation has proven more persistent than central bankers are willing to admit. In the United States, January’s CPI reading came in above expectations at 3 percent, and core inflation (excluding food and energy prices) was even higher at 3.3 percent. Inflation has now run hot for over three years, with the general price level up over 20 percent since 2021. Over a longer run, the U.S. money supply has trebled since the global financial crisis of 2008, while the gold supply has grown by only 1 percent to 2 percent per year. Gold prices, which are expressed in dollar terms, have thus tripled alongside the money supply, suggesting that gold has been a more honest representation of purchasing power than the depreciating dollar.
Investment markets are speculating that the U.S. government will revalue its gold holdings, still held on the books at a historical cost of just over $42 per ounce, to the current market value of nearly $3,000. This would instantly plug a portion (potentially nearly $1 trillion) of the gaping hole in the nation’s balance sheet. President Trump has committed to auditing the U.S. government’s gold stockpile, officially on the books at 8,133 metric tons, for the first time in half a century. A successful physical audit would boost confidence in the financial position of the United States, while a shortfall would shock global financial markets and further denigrate the credibility of not just the United States but governments around the world.
There is a shortage of physical gold. The London Bullion Market Association is the center of gold trading around the world. Many nations have historically held their gold reserves with the Bank of England, but in recent years have been repatriating their holdings. This has disrupted the London markets and put pressure on prices.
In recent weeks, demand for delivery of physical gold has skyrocketed. Geopolitical concerns have led to a massive movement of physical gold out of the UK and Europe into vaults in New York and elsewhere. This has led to shortages and speculation of price manipulation. European markets have been spooked by President Trump’s saber-rattling over tariffs, and price differentials have opened up between gold markets across the Atlantic, accelerating the movement of bullion into the United States.
This spike in demand for physical gold, and resulting logistical bottlenecks, are not only pressuring gold prices but potentially creating a demand spiral. Analogous to a deposit run on a bank, gold customers concerned about the security of their holdings may accelerate demands to withdraw them. This could further squeeze physical supply and quickly boost prices. Many gold derivative contracts are linked to underlying physical collateral. If this collateral can’t be secured, the contracts can fail. This is one reason why holding physical gold is vastly superior to exchange-traded funds or other investment contracts that can’t guarantee delivery of the collateral on demand.
Some gold industry observers have argued that there is evidence that the handful of large banks that issue most of the gold derivatives contracts have acted in concert to manipulate the price of gold. An illegal pricing cartel among the banks would not be unprecedented. The public discovered similar practices in the mortgage securities fraud leading up to the global financial crisis and in the manipulation of LIBOR (the interest rate at which banks lend to one another) uncovered a few years later.
The recent sharp rise in gold prices may put pressure on these banks and lead to instability in any price fixing arrangement. If the cartel unwinds, it could come quickly and violently. There would be winners and losers, and potential contagion into other markets. In other words, gold derivatives may become the epicenter of the next financial crisis. In such an event, demand for physical gold would spike further, as would prices.
Views expressed in this article are opinions of the author and do not necessarily reflect the views of The Epoch Times.
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Starting the Day With a Scripture-Inspired Roast Helps Center Your Thoughts on Eternal Truths Amid Temporal Pressures
The world can seem chaotic, especially right after we wake up. Many believers start their mornings reaching for something familiar — a hot cup of coffee — yet end up settling for mediocre brews that do little more than deliver a caffeine jolt. The daily grind of life, with its endless distractions, news cycles, and responsibilities, can leave even the most faithful feeling spiritually parched alongside their physical fatigue. What if your morning ritual could do more than wake you up? What if it could ground you in truth, nourish your body with exceptional quality, and quietly advance a kingdom purpose at the same time?
That’s the promise — and the reality — behind Promised Grounds Coffee. This Christian-founded company doesn’t just roast beans; it approaches every step as an act of worship and discipleship. By selecting only the top 10% of specialty-grade beans, ethically sourced from dedicated farmers in Central and South America, and small-batch roasting them with reverence in Austin, Texas, Promised Grounds delivers what many describe as the best coffee available — never burnt, never bland, but rich with origin stories and layered flavors that honor God’s creation.
From the vibrant Psalm 27 Roast (a light, bright medium option) to the bold yet peaceful 2 Timothy 1:7 Decaf, each bag carries a Scripture verse that turns your daily pour into a gentle reminder of faith. And through their Ounce Per Ounce Promise, every ounce of coffee you enjoy provides an equal ounce of clean water to families in need via partnership with Filter of Hope — literally brewing hope for body and soul, one cup at a time.
The challenge for today’s Christians runs deeper than finding a decent cup. In an age of convenience-driven consumerism, it’s easy to support companies that dilute values or remain silent on matters of faith. Many believers want their everyday choices — from what they drink to how they spend — to reflect discipleship rather than just convenience. Promised Grounds solves this by weaving Christian excellence into the entire process: beans nurtured with prayerful stewardship by farming families, roasted as an offering rather than a commodity, and packaged with Bible verses to encourage a mindset of gratitude and purpose from the first sip. Reviewers consistently praise the smooth, rich profiles — whether enjoyed black in a drip maker, iced on a warm day, or shared in fellowship — noting how the quality stands toe-to-toe with premium secular brands while delivering something far more meaningful.
This integration of faith and flavor addresses a real need in Christian households and ministries. Busy parents, church leaders, and remote workers alike report that starting the day with a Scripture-inspired roast helps center their thoughts on eternal truths amid temporal pressures. The coffee’s exceptional character — bright citrus notes in lighter roasts or deep chocolate undertones in bolder ones — comes from meticulous selection and careful roasting that respects the bean’s natural gifts rather than masking them. It’s the kind of coffee that elevates a simple quiet time, fuels productive workdays, or sparks meaningful conversations when shared at Bible studies or outreach events. And because it’s ethically sourced with integrity, every purchase supports sustainable livelihoods for farmers who treat their crops like family harvests.
For those leading churches or small groups, the impact multiplies. Promised Grounds offers bundles and options perfect for hospitality ministries, turning ordinary coffee service into an opportunity to point people toward the living water of Christ. Imagine greeting visitors with a warm cup whose very bag carries God’s Word — a subtle yet powerful witness that aligns with the Great Commission. The company’s Texas roots and commitment to “brewing hope” resonate especially with believers who value American enterprise paired with global compassion.
Of course, quality alone isn’t enough if the experience feels out of reach. Promised Grounds keeps it accessible with practical perks like free shipping on orders over $40, sample sets for discovering favorites, and thoughtful add-ons such as faith-themed mugs. Whether you prefer whole beans for fresh grinding, grounds for convenience, or even bulk options for larger households and ministries, the result is consistently superior coffee that makes discipleship feel integrated rather than added on.
As you consider how to align even the smallest habits with your walk with God, Promised Grounds Coffee stands out as a refreshing solution. It tackles the dual problems of subpar daily sustenance and disconnected consumption by offering a product that genuinely excels in taste while advancing a mission of clean water, farmer dignity, and scriptural encouragement. Believers who make the switch often describe it as more than a beverage upgrade — it becomes part of their rhythm of gratitude, a daily invitation to remember that every good gift comes from above.
If you’re ready to transform your mornings (and perhaps your church gatherings) with coffee that honors both exceptional craftsmanship and Christian values, I encourage you to explore what Promised Grounds has to offer. One sip at a time, you’ll be nourishing your body, refreshing your spirit, and participating in something far greater — all while enjoying what truly is among the best coffee available.