AXMIN Inc (TSXV: AXM)
AXMIN Inc. (TSXV:AXM) is a Canadian-based exploration and development company with a strong focus on central and West Africa.
On Thursday, February 20th, the global gold market reached a historic milestone as gold prices broke past $2,950 per ounce for the first time, setting a new all-time high. The ongoing surge in gold prices has been driven by escalating global turmoil, including trade tariff negotiations and the Russia-Ukraine conflict.
According to market data, COMEX gold prices briefly climbed to $2,973 per ounce during intraday trading, approaching the critical psychological level of $3,000. So far this year, gold has continued its upward trend following significant volatility and gains last year. Both London Gold and COMEX Gold have seen year-to-date increases exceeding 10%.
In response to the sustained rally, major financial institutions have recently revised their gold price forecasts upward.
In 2024, Robert Eckford, the CEO and Director of the emerging gold exploration company Rua Gold Inc. (CSE: RUA, OTC: NZAUF), analyzed the reasons why New Zealand is a mining-friendly jurisdiction and shared the development progress of the company’s two projects during an interview with METALS 100. Rua Gold owns two highly prospective project areas in New Zealand’s historic gold mining regions and has a highly experienced team of New Zealand professionals.
On February 17th, Goldman Sachs reiterated its “buy gold” recommendation and raised its forecast for the end of 2025 from $2,890 to $3,100 per ounce, citing strong and persistent demand for gold from global central banks. Similarly, UBS recently updated its forecast, predicting that gold prices could reach a peak of over $3,200 per ounce in 2025.
Meanwhile, the United States has been actively taking steps regarding gold. U.S. President Donald Trump announced plans to audit the Kentucky-based Fort Knox gold vault to ensure an accurate accounting of the national gold reserves. Additionally, since November 2024, the United States has received over 12.5 million ounces of gold, marking the largest inflow of gold in recorded history.
Market analyst and author Peter Grandich commented on the developments, stating that an official revaluation of U.S. gold reserves seems inevitable. Grandich believes that a revaluation is a logical step, as it could unlock the financial potential of U.S. gold reserves and enhance the nation’s ability to pay down debt. Analysts have also suggested that the U.S. government may be repatriating leased gold in an effort to support the U.S. dollar.
Currently, the U.S. government officially values its gold reserves at just $42.22 per ounce, a figure that has remained unchanged since 1973. The U.S. holds approximately 261.5 million ounces of gold, and analysts estimate that a revaluation to current market prices could unlock over $750 billion in financial value.
Commenting on the driving forces behind gold’s price surge, Grandich emphasized that physical gold has now become the dominant factor influencing market prices, ending years of manipulation in the paper gold market. He highlighted the waning influence of COMEX short positions and noted that Asia is increasingly becoming a critical force in the global gold market as economic power shifts. Over recent years, economies including the BRICS nations have significantly increased their gold reserves, a trend that is likely to further bolster global demand for the precious metal.
