Gold Hits Record Past $5,000 on Safe-Haven Demand

Gold surged to a historic high above $5,000 per ounce on Monday as investors rushed into the safe-haven asset. Spot gold rose 1.79% to $5,071.96 per ounce, after touching $5,085.50 earlier. U.S. gold futures for February delivery also gained 1.79% to $5,068.70 per ounce.

The metal has soared 64% in 2025, supported by strong safe-haven demand and U.S. monetary policy easing. Central banks, including China, continued heavy gold buying, extending its purchasing streak for 14 months. Exchange-traded funds also saw record inflows, further driving prices higher.

Gold has gained over 17% so far this year as geopolitical and economic concerns weigh on investor confidence. Analysts say uncertainty over U.S. policy and global trade has intensified the rush to precious metals. Investors are seeking stability amid volatile markets.

Kyle Rodda, senior market analyst at Capital.com, said the latest catalyst is a crisis of confidence in U.S. assets. Erratic decision-making from the Trump administration last week intensified fears, prompting investors to turn to gold.

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President Trump recently threatened tariffs on Canada and France and stepped back from earlier threats on European allies. Observers say these moves, along with plans for a Board of Peace, have unsettled markets and weakened trust in U.S. policy.

Meanwhile, a stronger yen pressured the U.S. dollar lower, making gold more affordable for buyers holding other currencies. Markets are also on alert ahead of the Federal Reserve’s upcoming meeting, which could influence investor behavior further.

Other precious metals also surged. Spot silver rose 4.57% to $107.65 per ounce, after a record $108.60. Platinum increased 3.26% to $2,857.41 per ounce, and palladium gained 3.2% to $2,074.40 per ounce. Analysts expect further upside for gold, with possible peaks near $5,500 later this year.