Gold Soars Past $4,000 as Economic Uncertainty Fuels Demand

Gold breaches the $4,000 mark, reaching a historic high as investors flock to the metal amid mounting economic and geopolitical concerns. The increase in gold's price has been sustained by expectations of further interest rate cuts from the U.S. Federal Reserve.

Throughout 2025, gold has established itself as a top-performing asset, witnessing a 53% increase since the beginning of the year. According to independent metals trader Tai Wong, market confidence is robust, with investors eyeing $5,000 as the next potential milestone, spurred by ongoing rate reductions.

Contributing factors to gold's rally include a weakening dollar, central bank purchases, and strong inflows into gold-backed exchange-traded funds. Investors are betting on additional rate cuts as economic data release delays due to the U.S. government shutdown persist, with significant price gains anticipated in 2026.

(With inputs from agencies.)