Gold tops record $5,000 as Trump policy uncertainty fuels safe-haven surge
Gold tops record $5,000 as Trump policy uncertainty fuels safe-haven surge
Gold clears the $5,000 barrier amid global policy jitters, with investors flocking to safe havens as the dollar wobbles and geopolitical tensions rise.
Gold prices surged past the $5,000 mark, hitting a fresh record as investors flock to safe havens amid global uncertainty tied to US policy moves. The rally came after ongoing concerns about Donald Trump's approach to trade, geopolitics in Greenland, and pressure on the Federal Reserve, all of which have rattled markets and spurred demand for gold.
Analysts say the move reflects a broader shift in risk sentiment, with the dollar weakening and central banks around the world maintaining an accommodative stance. In addition to the $5,000 level, silver climbed past $102 an ounce, highlighting demand for precious metals as a hedge against inflation and volatility.
Gold was hovering around $5,026 an ounce in London trade, after flirting with intraday highs above $5,085 earlier in the session. Spot gold and futures have seen similar strength, underscoring a persistent safety bid even as other asset classes face pressure.
Analysts note that gold's climb is consistent with a period of elevated geopolitical risk and trade tensions, including concerns about potential US intervention in Greenland and fears of a broader, escalating trade war. With tensions in Ukraine and Gaza continuing to weigh on risk appetite, investors continue to seek protection against possible spikes in inflation and debt costs.
Looking ahead, traders will be watching the dollar's direction and any shifts in Federal Reserve policy. If uncertainty persists, gold could remain well-supported; however, a stabilization in political developments or a stronger dollar could limit further upside in the near term.
