Gold prices surged on Thursday, hovering just below $5,600 an ounce, as investors sought refuge amid escalating geopolitical tensions and global economic uncertainty. Silver also experienced a significant rally, climbing past $120 an ounce, reflecting a broader surge in demand for precious metals as safe-haven assets.
Spot gold jumped 2.7% to $5,546.29 an ounce by 0752 GMT, earlier touching an all-time high of $5,594.82. The rally marks nine consecutive sessions of record highs, highlighting persistent investor appetite for security amid market volatility.
Analysts attribute the sustained upward momentum in gold and silver to a combination of factors, including fears over potential conflicts, concerns about inflation, and uncertainty surrounding U.S. monetary policy. The weakening U.S. dollar and instability in global markets have further fueled the shift toward precious metals.
“This is a classic flight-to-safety scenario,” said a metals strategist. “Investors are prioritizing gold and silver as hedges against economic shocks, currency volatility, and geopolitical risk.”
The continued rally in precious metals comes as central banks globally grapple with balancing inflation pressures against slower growth, while investors assess the impacts of ongoing geopolitical developments on trade, supply chains, and global investment flows.
With demand showing no signs of abating, gold and silver are expected to remain in focus in the near term, as market participants closely watch economic data releases, policy statements, and developments in international relations for cues on further price movements.
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