Silver rose past $70 for the first time on Tuesday, while gold hit a record high, trading just below $4,500 an ounce, as a weaker US dollar and persistent geopolitical uncertainty lifted demand for safe-haven assets.
Spot silver rate rose 2.2% to a record of $70.61 per ounce. The metal is up 143% so far this year on supply deficits, industrial demand, and investment inflows.
“Silver is responding to many of the same macroeconomic forces but with added intensity due to its own supply-demand dynamics,” said Ahmad Assiri, research strategist at Pepperstone. “Tight supply conditions, combined with strong investment and speculative interest, are magnifying price moves as silver approaches the $70 level.”
Spot gold rate climbed 0.9% to $4,486.99/ounce, after scaling an all-time high of $4,497.55 earlier in the session. Bullion has gained more than 70% this year as investors seek refuge amid global tensions and lower interest rates.
US gold futures for February delivery added 1.1% to $4,518.80.
“Expectations for a dovish Fed, markets losing confidence in the greenback, geopolitical tensions and central bank buying…,” said Carlo Alberto De Casa, external analyst at banking group Swissquote. “Investors’ lust of gold remains massive, due to a mix of all factors above.”
The US dollar extended losses to a second day and is on track for its biggest annual fall since 2017, according to Refinitiv data.
Last week, US President Donald Trump ordered a “blockade” of all sanctioned oil tankers entering and leaving Venezuela. He also said he was not ruling out the possibility of war with the South American country.
Markets are currently pricing in two interest rate cuts for 2026 as reports of President Trump’s plans to name a new Federal Reserve chair early next year reinforce expectations for dovish monetary policy.
