Gold reached a historic milestone, surpassing $5,000 an ounce, fueled by heightened political and economic uncertainty linked to Donald Trump’s unpredictable policy reversals. This symbolic threshold underscores the metal’s role as a safe-haven asset during turbulent times.
Markets have been shaken by changing announcements on trade, taxation, and international relations, driving volatility in currencies and equities. In this environment, investors have flocked to gold to hedge against geopolitical risks, persistent inflation, and uncertainty over the U.S. monetary policy trajectory.
The surge is also supported by strong demand from central banks seeking to diversify their reserves, as well as by growing interest in tangible assets amid financial uncertainty. A relatively weak dollar and expectations of more accommodative interest rates have further reinforced the rally.
While some analysts caution about short-term profit-taking after such a sharp rise, many believe that underlying dynamics remain favorable as long as political and economic uncertainty persists. Crossing the $5,000 mark marks a major turning point for the gold market, highlighting its role as a global barometer of anxiety.