Gold surpasses $4,700 an ounce and sets a new record high, driven by geopolitical tensions

The price of gold has reached a new all-time high on Tuesday by surpassing $4,700 per ounce, boosted by rising geopolitical tensions, a weaker dollar and growing demand for safe-haven assets. In parallel, silver also reached a record high, topping $95 an ounce for the first time.

According to market data consulted by Reuters, spot gold rose nearly 2% to $4,761.58 per ounce, after reaching an intraday peak of $4,763.07. U.S. gold futures for February delivery advanced 3.7% to $4,766.80 per ounce.

Analysts explain that the rally responds to increased political and commercial uncertainty, especially after new tariff threats from President Donald Trump against Europe, in the framework of the dispute over Greenland. These statements coincided with a sharp drop in Wall Street's main indexes, which reached almost three-week lows.

"Gold is moving further into uncharted territory as investors seek protection from rising political risk," said Fawad Razaqzada, analyst at City Index and FOREX.com. He added that the dollar's weakness has bolstered the appeal of precious metals by making them cheaper for international buyers.

The U.S. dollar was heading for its biggest daily drop in more than a month, giving an additional boost to gold, traditionally considered a safe haven in contexts of economic and political instability.

Gold rose 64% in 2025

In an annual perspective, gold rose 64% in 2025 and has accumulated another 10% gain so far in 2026, also supported by expectations of interest rate cuts in the United States, which reduce the opportunity cost of holding non-yielding assets such as gold. Markets are discounting at least two 25 basis point cuts starting in mid-2026, amid speculation about possible changes in the Fed's leadership.

Razaqzada indicated that $4,800 and $4,900 per ounce are the next benchmark levels, while $5,000 appears to be the long-term psychological target.

Further highs in silver, platinum and palladium

Meanwhile, spot silver retreated slightly by 0.1% to $94.60 per ounce, after setting an intraday high of $95.87. The metal accumulated a 147% rise in 2025 and has gained more than 32% so far in 2026.

Other precious metals also showed increases: the platinum rose 2.5% to $2,433.12 an ounce, while palladium rose 1.7% to $1,873.55.

The increase in value of precious metals comes amid the run-up to Trump's participation in the World Economic Forum in Davos, where he will meet with political and business leaders, in a context marked by market volatility and the resurgence of fears of a new trade war.