Rising gold prices spark boon for jewellery and bullion retailers

The past week ended, on Friday, 11 April 2025, with gold prices reaching a record high of $3,237.98 per ounce, driven by escalating trade tensions between the US and China, a weakening US dollar, and increased demand for safe-haven assets.

This surge has significantly impacted the jewellery and bullion retail sectors, as consumers and investors seek stability amid economic uncertainties.​

The UK jewellery market is experiencing robust growth, with revenues projected to reach $7.76bn by 2030, growing at a compound annual rate of 5.1% from 2025 onwards. Consumers are increasingly viewing gold jewellery not only as adornment but also as a tangible investment.​

Current trends highlight a shift towards sustainable and ethically sourced pieces.

Designs featuring recycled materials and responsibly mined gemstones are gaining popularity, reflecting a broader consumer preference for eco-conscious products.​

Bullion dealers are adapting to increased demand by offering a range of products suitable for both seasoned investors and newcomers. The availability of fractional gold coins and online purchasing options has made gold investment more accessible.

Analysts have raised their 2025 gold price forecasts above $3,000, anticipating continued interest in gold as a safe-haven asset. ​

However, the UK faces challenges in meeting this demand. A significant amount of gold has been transferred to New York in anticipation of potential tariffs, leading to a shortage in London and delays for investors seeking to retrieve their holdings.​

Jewellery retailers are responding to market dynamics by enhancing their offerings. Mid-level jewellers are moving upmarket to cater to clients seeking exclusivity, with some focusing on bespoke events and auctions.

This strategic shift aims to capture a segment of consumers less impacted by inflation and more interested in unique, high-value pieces.​

As economic uncertainties persist, the demand for gold in both jewellery and bullion forms is expected to remain strong. Retailers that can adapt to consumer preferences and market conditions are well-positioned to thrive in this environment.

“Rising gold prices spark boon for jewellery and bullion retailers” was originally created and published by Retail Insight Network, a GlobalData owned brand.

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