Gold prices climbed to yet another record, marking their 50th all-time high this year, as investors assessed rising geopolitical risks and growing expectations of further US interest rate cuts. Silver also touched a fresh peak. Gold crossed $4,480 an ounce for the first time after jumping 2.4 percent in the previous session, its strongest daily gain in over a month. Markets are increasingly pricing in lower borrowing costs next year, a backdrop that typically supports non-yielding assets such as precious metals.
Safe-haven demand strengthened amid escalating geopolitical tensions, especially involving Venezuela, where the US has tightened pressure on President Nicolás Maduro’s government by blocking oil shipments. Gold has surged about 70 percent this year, driven by heavy central bank buying and steady inflows into gold-backed exchange-traded funds. It is on course for its best annual performance since 1979.
Investor demand has also been fueled by concerns over rising debt levels, prompting a shift away from currencies and bonds. After a brief pullback in October, gold has rebounded strongly and is expected to extend gains into next year. Silver, meanwhile, has soared nearly 140 percent this year, supported by speculative buying and persistent supply disruptions, with trading volumes spiking in major markets.
