Gold prices have reached unprecedented highs, with spot prices soaring above $2,500 per ounce due to expectations of upcoming interest rate cuts by the Federal Reserve and strong demand from global central banks. The precious metal's value has surged roughly 22% this year, defying typical trends where gold peaks during financial distress, and surpassing the $1 million mark for standard 400 troy ounce bars for the first time. Analysts from UBS and Citigroup predict further increases, with prices potentially reaching $2,700 to $3,000 by mid-2025. This surge is driven by central banks diversifying reserves, geopolitical tensions, and investor demand amidst economic uncertainty and a cooling inflation environment. As a result, gold has outpaced other assets like equities and bonds, with ETFs and individual investors continuing to bolster their gold holdings.