In January of this year, gold prices briefly hit a record high of approximately $5,600 per ounce—more than double the roughly $2,600 per ounce seen at the end of 2024. As of press time, gold prices have retreated to around $4,800 per ounce. Nevertheless, a growing number of prominent analysts, business leaders, and investors—including JPMorgan Chase CEO Jamie Dimon—believe that in the near future, gold prices could nearly double again, reaching $10,000 per ounce.
In 2022 and 2023, the Federal Reserve raised interest rates to curb inflation. This pressure strengthened the U.S. dollar and reduced the value of gold, which is priced in dollars. However, the six interest rate cuts implemented by the Fed in 2024 and 2025 weakened the dollar once again, thereby boosting gold prices. At the same time, geopolitical conflicts, trade wars and tariffs, and persistently high inflation have continued to drive investors toward gold as a safe-haven investment. Many investors have poured into major gold exchange-traded funds, including SPDR Gold Shares (GLD), in hopes of profiting from this trend.
The Fed has not yet cut interest rates this year, but the outbreak of war in Iran at the end of February unsettled the market, prompting more investors to increase their gold holdings. In late March, the U.S. Treasury Department announced that the U.S. government is insolvent—suggesting that the Fed will need to increase the money supply to manage the debt. As stock markets stagnate or decline, the resulting depreciation of the dollar could further push gold prices higher.
Reaching $10,000 per ounce for gold may take longer than expected. From about $1,300 per ounce in 2019 to $2,600 in 2024, it took roughly five years for gold prices to double. Therefore, the recent surge may simply be a reaction to recent global events.
If the war in Iran ends and the macroeconomic environment improves, gold could lose its appeal as investors turn back to higher-risk investments. But if the U.S. dollar collapses, a global war breaks out, or other disasters shock the global economy, gold prices could certainly spike to $10,000.
A low-cost, safe dividend gold stock worth attention from retirees
For retirees seeking income and capital preservation, Thor Explorations (TSXV:THX), a West Africa-focused gold producer, is worth knowing. The company has a low stock price, strong profitability, and a dividend yield of nearly 4%. It is debt-free and holds $137 million in cash. Moreover, it is building a second mine, which could nearly double its production without issuing new shares.
Of course, investing is not without risks. Thor operates in Nigeria and Senegal, facing geopolitical and regulatory uncertainties. Tax negotiations with the Senegalese government are still ongoing. However, the company has successfully operated in Nigeria, obtained environmental approval in Senegal, and has been conducting detailed project costing with its engineering, procurement, and construction partner for over 18 months. For retirees looking to receive dividend income while waiting for a new mine to be built, this gold stock is worth watching.
