Gold hits new record high amid fresh Trump turmoil
The price of gold jumped above $5,000 on Monday, as investors once again scrambled to get their hands on the safe haven asset amid heightened Trump tariff turmoil and policy changes.
The precious metal surged to $5,078 (£3,716) per ounce, extending its record rally, before reaching $5,097.24 on Monday morning.
Silver also hurtled past $100 per ounce, having only reached that level on Friday, trading at $109.71.
The flurry to the safe haven assets comes after Trump threatened Canada with 100 per cent tariffs if the country “made a deal with China”.
Last week Canada’s Prime Minister Mark Carney unveiled a “strategic partnership” with China and agreed to reduce tariffs, which Trump initially hailed “a good thing”.
But tension between the neighbours boiled again in recent days following Carney’s speech in Davos where he said the US-led world order had been ruptured.
Trump’s showdown with Europe over the future of Greenland also led to the fleeing of the stock market, after he pulled back his threat of tariffs following butting heads with European leaders.
US shutdown and Japenese yen
Fears of another US shutdown also rocked the already jittery markets, after Democrats threatened funding for the Department of Homeland Security in the wake of shooting of Alex Pretti, a 37-year-old intensive care nurse, by federal immigration agents in Minneapolis on Saturday.
Elsewhere, gold’s increase also came as the yen extended its advance against the dollar.
Markets are on heightened alert of a Japan government intervention, potentially with rare US assistance, after Prime Minister Sanae Takaichi warned of action on “highly abnormal movements”.
Gold’s glittering milestone
Monday’s milestone is the latest in the historic run for the metal, with its pricing rocketing since Trump’s inauguration in January 2025.
Richard Hunter, head of markets at Interactive Investor, said: “Haven investments are still in demand given the volatile backdrop, and silver posted a further six per cent gain as a result.
“Gold… taking its gain since the beginning of last year to 94 per cent, with no immediate headwinds in sight to prevent further progress for the precious metal.”