Gold climbed to another record high on Tuesday, breaching the unprecedented $4,700 an ounce mark as escalating geopolitical tensions boosted demand for safe-haven assets, while silver also surged past $95 for the first time.
Spot gold rose about 2% to $4,757.33 per ounce by 01:52 p.m. ET, after touching a record $4,765.93 earlier in the session. U.S. gold futures for February delivery settled 3.7% higher at $4,765.80 per ounce.
“Gold has surged deeper into uncharted territory as investors hedge against rising political risk,” said Fawad Razaqzada, market analyst at City Index and FOREX.com.
“A softer dollar is providing an additional tailwind for precious metals, reinforcing gold’s rally at a time when confidence in US assets appears to be wobbling.”
Global equities also reflected investor unease, with Wall Street’s main indexes sliding to a near three-week low. Markets were rattled by renewed tariff threats from President Donald Trump against Europe linked to control over Greenland, remarks that heightened tensions ahead of Trump’s expected meeting with global business leaders in Davos on Wednesday.
The U.S. dollar was on track for its biggest daily fall in over a month, making dollar-priced gold cheaper for overseas buyers and further fueling demand.
Gold, traditionally viewed as a store of value during political and economic uncertainty, surged 64% in 2025 and has already added another 10% since the start of this year. The rally has also been supported by expectations of U.S. interest rate cuts, which reduce the opportunity cost of holding non-yielding bullion.
Markets are currently pricing in two 25-basis-point rate cuts from mid-2026. Investor focus has sharpened further after U.S. Treasury Secretary Scott Bessent said President Trump could name a new Federal Reserve chair as early as next week.
“$4,800 and $4,900 are the next obvious reference points for gold, with the key $5,000 handle standing out as the longer-term psychological target,” Razaqzada added.
Silver, after hitting a record $95.87 earlier in the day, slipped 0.3% to $94.38 an ounce. The white metal had surged about 147% in 2025 and is already up more than 32% since the start of 2026.
Among other precious metals, spot platinum gained 2.3% to $2,429.60 per ounce, while palladium rose 1.1% to $1,861.61, reflecting broad strength across the sector amid heightened global uncertainty.
