Precious Metals Market to Reach Valuation of USD 391.2 Billion by 2030 – Federal Reserve's Less Aggressive Stance on Interest Rate Hikes and Sustained High Demand for Gold Jewelry in China and India Drive the Market Growth

In terms of revenue, the Global Precious Metals Market is expected to reach by 2030, growing at a CAGR (Compound Annual Growth Rate) of 5.38% from 2023 to 2030.

In the dynamic landscape of global markets in 2022, Precious Metals emerged as the undisputed macroeconomic winners, surpassing traditional asset classes like stocks and bonds. Despite challenges such as aggressive interest rate hikes, a strong US dollar, and record-high inflation, gold retained its value, silver showed a 3% increase, and platinum surged by 11%. As 2023 unfolds, {keyword}} are poised to continue their stellar performance. The weakened US dollar, increased central bank gold purchases, and strong retail demand for gold coins and bars in the US are significant contributors to this bullish outlook. The growth in Europe, the Middle East, Turkey, and India, coupled with a less aggressive Federal Reserve, hints at a promising year for Precious Metals.

Key Highlights from the Report

· Based on the segmentation of Type, the Gold segment is anticipated to dominate the Precious Metals market with the largest market share in the forecast period due to its high trading prices and greater usage in the jewelry sector.

· Furthermore, based on the Application segmentation, the Industrial segment dominated the Precious Metals market, which is anticipated to continue. The rapid increase in the use of metals in industries like the automotive, aerospace, electronics, and chemical sectors, can be attributed to their wide-ranging applications.    

· Finally, in terms of Region, Asia Pacific held the major market share in 2022 and is likely to be the most gainful market in the future.  

Market Dynamics

Several factors are influencing the Precious Metals market in 2023. The weakened US dollar and a decline in the 10-year Treasury yield have bolstered gold prices. Central banks globally are increasing their gold reserves, and retail investment in gold coins and bars remains robust, with a notable surge in demand observed in the US. The growth in Europe, the Middle East, Turkey, and India further underscores the increasing trust in Precious Metals as a safe-haven investment.

Key factors driving the strong performance of Precious Metals include the Federal Reserve's less aggressive stance on interest rate hikes, the resurgence of economic activities in China, and sustained high demand for gold jewelry in China and India. Silver is anticipated to outperform gold in 2023 due to growing demand and limited supply, especially in sectors like automotive, renewable energy, and electronics. Platinum's impressive run is expected to continue, driven by increased demand for automotive platinum and the adoption of hydrogen fuel cells globally. 

Despite the positive trends, precious metal prices faced challenges. In 2022, prices remained below their March highs, influenced by rising interest rates, a strong U.S. dollar, and soft consumer and investment demand. The industrial demand for silver weakened, and palladium prices fell due to concerns over supply availability post-sanctions on Russia. Additionally, the regulatory measures by the European Union and the U.S. government to track commodity sourcing aim to limit black market activities but pose challenges in terms of compliance and disclosure. 

Asia Pacific emerged as the largest region in the Precious Metals market, commanding a 47.30% revenue share in 2022. China, with its robust manufacturing sector, led the region's demand for gold and platinum group metals. India, the second-largest consumer of gold in the region, showcased strong demand driven by its wedding industry and evolving manufacturing capabilities. In the years India is anticipated to have an impact, on the expansion of the worldwide Precious Metals sector. The influence of China, India, and Japan positions Asia Pacific as a key player in shaping the market dynamics. 

The Global Precious Metals Market is Segmented as follows

• Type
  • Gold
  • Silver
  • Platinum Group Metals (PGM)
• Application
  • Jewelry
  • Industrial
  • Investment
  • Other Applications
• Region
  • North America
  • Europe
  • Asia Pacific
  • Latin America
  • MIddle East & Africa

List of the Key Players of the Global Precious Metals Market is

Freeport-McMoRan Inc. (U.S.), PJSC Polyus (Russia), Newmont Corporation (U.S.), Gold Fields Limited (South Africa), Randgold & Exploration Company Limited (South Africa), Barrick Gold Corporation (Canada), AngloGold Ashanti Limited (South Africa), Kinross Gold Corporation (Canada), Newcrest Mining Limited (Australia) 

The Global Precious Metals Market Scope can be Tabulated as below