“Gold Ounce” Breaks All Records Amidst Rising Global Uncertainty
Price of gold has surpassed $5,000 per ounce for the first time in history on Monday, benefiting from its status as a safe haven in the prevailing geopolitical, commercial, and monetary uncertainties under U.S. President Donald Trump.
The precious metal saw a steady increase over the past two years, driven by a weakening dollar, with the ounce, which weighs 31.1 grams, priced just above $2,000 in January 2024.
Around 3:30 PM GMT on Monday, the price of gold rose by 1.85%, reaching $5,080 per ounce, after hitting a record level of $5,093.05 at 2:27 PM GMT.
The recent surge in gold prices was particularly influenced by tensions surrounding Greenland, which the U.S. president threatened to acquire, warning European allies of tariffs should they oppose his plans.
The relative calm that characterized this week’s World Economic Forum in Davos, Switzerland, where Donald Trump backed down from threats of imposing new tariffs, did not curb the rising gold prices.
Prices remain affected by geopolitical developments in Ukraine, Gaza, and Iran.
Frequent shifts in U.S. administration policies contribute to an atmosphere of uncertainty in the United States, prompting investors to shy away from the dollar and government bonds, which are typically considered safe havens competing with gold.
Dan Cottsworth, an analyst at AJ Bell, explains that investors are “hesitant to part with” the precious metal “for fear that Donald Trump may wake up with another controversial idea.”
Structural Problems
Kyle Roda, an analyst in Australia at Capital.com, notes that “given the structural problems burdening the global economy and political system, precious metals represent a real safe haven.” He adds, “Along with expansive monetary policy, the massive development of artificial intelligence, rearming nations, and Trump’s campaigns against the Federal Reserve, precious metals find themselves in a unique situation.”
Stephen Innes from SPI Asset Management states that the pressures and criticisms Trump exerts on the Federal Reserve and its chairman Jerome Powell to reduce U.S. interest rates more aggressively reinforce these apprehensions and fuel fears that the Federal Reserve may be “subject to influence.”
Powell recently revealed that the Justice Department opened legal proceedings against him, which could lead to criminal charges.
The central bank chief strongly condemned the attempted intimidation of the institution for not following the “president’s recommendations.”
Record Silver Price
According to Neil Wilson from Saxo Markets, “A more important factor” has supported gold prices in recent months, which is “currency devaluation and rising government debt levels,” leading to an “insatiable thirst” for tangible assets with real value.
In other words, investors are seeking to secure their wealth by turning to real assets capable of maintaining their value over the long term, among which is gold.
Other precious metals have followed gold’s lead in rising in recent months, including silver, which has more than doubled in value since October 2025.
Thanks to industrial demand in the solar energy and electronics sectors, silver’s price surpassed $100 per ounce for the first time on Friday.
At 2:49 PM GMT on Monday, silver reached a new record level, just like gold, at $109.45 per ounce; around 3:30 PM, silver’s price had risen by approximately 5.58%, reaching $108.89.
David Morrison, an analyst at Trade Nation, indicates that silver is witnessing a notable rise amid excessive optimism, driven by “fear of missing out” (FOMO), as well as “rumors of supply shortages.”
