Gold surges past $4,500: precious metals hit new records as the dollar slides

Rush toward safe-haven assets: gold, silver, and platinum mark historic highs driven by a weakening dollar, global tensions, and expectations of Fed rate cuts.

Precious metals markets are back in the spotlight. Spot gold has broken a new all-time record, surpassing $4,500 per ounce for the first time, with gains of over 70% since the start of the year. The metal’s rally is being fueled by a weaker dollar, an increasingly tense geopolitical landscape, and growing expectations that the Federal Reserve is preparing to begin cutting interest rates.

It’s not just gold on the move: platinum has climbed above $2,300 per ounce, also setting a new record, while silver is approaching the $72 threshold.

“Gold has surged past $4,500, silver is flirting with $72, and platinum is racing toward $2,400: all of them are likely benefiting from their appeal as hedges against U.S. dollar debasement,” commented Vishnu Varathan, Head of Asia (no Japan) Macro Research at Mizuho Securities.

Meanwhile, the U.S. dollar index has lost nearly 10% since the beginning of the year, further boosting the attractiveness of precious metals as safe-haven assets for investors.

Andrea Pelucchi