Gold Breaks Barrier: Soaring Towards New Heights Amid Global Uncertainty

Gold prices surged past the $4,000 mark per ounce for the first time on Wednesday, further advancing a historic rally amid geopolitical and economic uncertainties. Anticipated U.S. interest rate cuts have propelled investors toward gold, recognized as a traditional safe-haven asset.

By 12:17 PM ET, spot gold rose 1.8% to $4,053.13 per ounce, while silver, benefiting from gold's momentum, hit a record high. Gold's year-to-date increase stands at 52%, significantly outperforming global equities and cryptocurrencies, as it benefits from central bank buying and a weakened dollar. Silver has similarly risen over 66% this year.

Market analysts predict continued growth in gold prices into 2026, possibly challenging $5,000 per ounce. Amid global crises and inflows into ETFs, gold's performance remains buoyant despite concerns over market overvaluation. HSBC increased its silver price forecast, anticipating further volatility and demand.

(With inputs from agencies.)