Gold prices have climbed to an all-time high, as escalating geopolitical tensions and bets that the U.S. Federal Reserve (Fed) will continue cutting interest rates have driven the strongest annual gains in more than four decades.
The precious metal rose more than 1% to USD 4,435 per ounce, surpassing the previous peak of USD 4,381 per ounce set in October. In Vietnam, SJC gold prices also hit a new record of VND 157.5 million per tael.
Traders are betting that the Fed will cut interest rates twice in 2026, after a series of economic data releases last week failed to provide clearer signals about the economic outlook. Meanwhile, U.S. President Donald Trump has called for aggressive rate cuts. Easier monetary policy is supportive for gold and silver—assets that do not yield interest.
Rising geopolitical tensions in recent weeks have also underscored gold and silver’s role as safe havens. The United States has stepped up oil sanctions against Venezuela, increasing pressure on the government of President Nicolás Maduro.
Both gold and silver are on track for their strongest annual gains since 1979. Gold prices have risen more than 60% year-to-date, supported by increased buying from central banks and inflows into physically backed gold ETFs.
Goldman Sachs Group is among several banks forecasting further gains in gold prices in 2026, with a base-case scenario of USD 4,900 per ounce and upside risks. The bank noted that ETF investors are beginning to compete directly with central banks for limited physical gold supply.
Silver prices jumped as much as 2.7% to a record USD 68.9883 per ounce, supported by speculative inflows and prolonged supply disruptions at major trading hubs. Trading volumes of silver futures in Shanghai have surged this month, approaching levels seen during periods of heightened stress a few months ago.
Platinum prices rose for an eighth consecutive session, breaking above USD 2,000 per ounce for the first time since 2008. The metal is up about 125% this year. The rally has accelerated in recent days as signs of tightening have emerged in the London market. Banks are shifting more metal to the U.S. to hedge against tariff risks, while exports to China remain strong amid rising demand and the start of trading of contracts on the Guangzhou Commodity Exchange.
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