Gold Breaks Above $5,000 as Trade and Geopolitical Tensions Intensify
Spot gold climbed 0.5% to $5,175.00 per ounce, while U.S. gold futures for April delivery advanced 0.5% to $5,193.90.
Quick overview
- Gold prices increased by 0.5%, remaining above $5,000 an ounce due to a weaker dollar and heightened demand for safe-haven assets.
- Spot gold reached $5,175.00 per ounce, while U.S. gold futures for April delivery rose to $5,193.90.
- The rise in gold prices is attributed to uncertainty over U.S. trade tariffs and escalating tensions with Iran.
- Other precious metals also saw significant gains, with silver up 3.5%, platinum up 5.4%, and palladium up 2.7%.
The precious metal is up 0.5% and remains above $5,000 an ounce, supported by a weaker dollar and rising demand for safe-haven assets amid uncertainty over new U.S. tariffs and escalating tensions with Iran.
Gold prices rose on Wednesday, driven by a softer U.S. dollar and increased safe-haven demand as uncertainty surrounding American trade tariffs and growing frictions between Washington and Tehran unsettled markets.
Spot gold climbed 0.5% to $5,175.00 per ounce, while U.S. gold futures for April delivery advanced 0.5% to $5,193.90. The dollar index weakened, making dollar-denominated gold cheaper for holders of other currencies.
Spot gold continues to hold above the $5,000 level, supported by dollar weakness, unclear prospects for U.S. trade policy, and persistent geopolitical tensions.
Among other precious metals, spot silver jumped 3.5% to $90.40 an ounce, its highest level in three weeks. Spot platinum surged 5.4% to $2,285.64, its highest level since February 4, while palladium rose 2.7% to $1,816.21.
U.S. tariff dispute continues
U.S. President Donald Trump said in his State of the Union address that “almost all” countries and companies want to maintain previously agreed tariff and investment deals with Washington. The United States began imposing a temporary 10% tariff on global imports on Tuesday, and was working to raise it to 15%, according to a White House official.
Meanwhile, U.S. envoys Steve Witkoff and Jared Kushner are scheduled to meet with an Iranian delegation for a third round of nuclear talks on Thursday in Geneva.
Iran is also close to finalizing a deal with China to purchase anti-ship cruise missiles, according to sources cited by Reuters. The missiles could potentially target U.S. naval forces currently deployed near the Iranian coast, further heightening regional tensions.
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