Gold Surges Past $4,400 Amid Rate Cut Expectations and Geopolitical Tensions
Gold prices soared above $4,400 per ounce, reaching a spot high of $4,420 before retreating slightly. This surge is driven by expectations of further US interest rate cuts next year and increased demand for safe-haven assets amid ongoing geopolitical tensions and tariffs.
In 2025, gold has risen more than 68%, marking its largest annual increase since 1979, according to Adrian Ash of BullionVault. Analysts have linked the heightened demand and market volatility to the tariff actions and rhetoric of then-President Trump.
Concurrently, a weaker US dollar has helped boost gold prices by making the metal more affordable for overseas buyers. Other precious metals also experienced record performances: silver hit a record $69.44 per ounce and has gained approximately 138% year-to-date, while platinum reached a 17-year high due to supply constraints.
The broader precious metals sector benefited from strong industrial demand supporting silver and platinum alongside gold, contributing to exceptional market performances in 2025.
