By John Liu, NCS
(NCS) — Gold costs surged past $5,000 per ounce for the first time late Sunday, as traders rushed to the safe-haven asset as concern unfold that US President Donald Trump is upending relations with key allies, from Europe to Canada.
In this 12 months’s first 26 days, the worth of gold has jumped 15%; a historic rally that builds on a record-breaking year in 2025, when costs skyrocketed 65% – the largest annual acquire since 1979.
Gold is usually seen as a refuge in unsure instances and a barometer of market nervousness. And this newest surge has been pushed by a sequence of market-destabilizing world and home strikes by Trump –– from the now-revoked tariff threats against NATO allies over Greenland, to the navy operation in opposition to Venezuela, and the criminal investigation into Federal Reserve Chair Jerome Powell.
Demand has additionally been pushed by a weaker US greenback, higher-than-expected inflation, predictions the Fed will additional lower rates of interest this 12 months, and the buy of the treasured steel by central banks round the world.
Gold was up 1.4% Sunday to $5,058 a troy ounce, as of 8:14 pm ET.
Silver, one other safe-haven asset surging in worth, rose 4.5% to $107.8 an oz. Sunday. Like Gold, Silver final 12 months additionally recorded its finest efficiency since 1979, with a 141% worth improve.
Despite hitting the $5,000 benchmark, analysts remained largely bullish on gold, arguing costs might rise additional as uncertainty persists.
Before the record rally, Goldman Sachs analysts had raised their forecasts of gold costs to $5,400 per troy ounce, citing personal sector traders’ pursuits in the yellow steel because of “lingering global policy uncertainty,” based on a analysis observe printed by the funding financial institution final week.
Others noticed much more room for features. Bank of America’s chief funding officer Michael Hartnett stated in a analysis observe final week that gold costs might peak above $6,000.
Uncertainty drives increase
Less than one month into 2026, Trump’s coverage whiplash has fueled geopolitical uncertainty and rattled markets, pushing traders to guess on treasured metals.
Gold costs jumped following the US seize of Venezuelan President Nicolás Maduro and Trump’s risk in opposition to the Iranian regime amid a bloody crackdown on protesters.
Trump additionally ramped up his rhetoric about annexing Greenland and threatened to reigniting a world commerce warfare with tariffs on European allies that opposed his plans of buying the Danish territory. Even although Trump abruptly backed down and claimed a deal was reached on Wednesday, markets remained unsettled by the White House’s unpredictability.
Then on Saturday, Trump threatened to slap 100% tariffs on Canadian imports ought to the US neighbor make a commerce cope with China – one thing Ottawa has stated it has “no intention” of doing.
Domestically, the US President has additionally renewed assaults on Powell, the Fed chair. Federal prosecutors opened a felony investigation into him earlier this month, throwing into query the political independence of the central financial institution.
Together, these developments have unnerved traders, accelerating a flight into treasured metals.
The-NCS-Wire
™ & © 2026 Cable News Network, Inc., a Warner Bros. Discovery Company. All rights reserved.