Gold and silver prices today: As investors flocked to safe-haven assets amid geopolitical and economic uncertainty, gold prices in the global market resumed their bull run on Thursday, setting a fresh record high of $5,591.16 an ounce as gold and silver prices today surged globally.
Gold and Silver Prices Hit Fresh Record Highs
After hitting a new all-time high of $5,591.61 earlier in the session, spot gold was trading 2.1% higher at $5,511.79 an ounce reflecting strong momentum in gold and silver prices today.
The metal has risen more than 10% so far this week because to a combination of strong safe-haven demand, significant central bank purchases, and a weaker US currency. It crossed the $5,000 mark for the first time on Monday.
Silver Prices Follow Gold’s Strong Momentum
After reaching a record high of $119.34 earlier in the session, spot silver increased 1.3% to $118.061 per ounce.
In keeping with forecasts, the US Federal Reserve maintained interest rates on Wednesday. Inflation in December most likely stayed well above the central bank’s 2% target, according to Fed Chair Jerome Powell.
Central Bank Policy and Currency Impact
On the geopolitical front, U.S. President Donald Trump warned that any future U.S. military action would be more tougher and urged Iran to negotiate and come to a nuclear weapons accord on Wednesday. Tehran responded by threatening to launch counterattacks on Israel, the United States, and their allies.
Gold prices also gained support on Thursday, according to a Reuters story, following the announcement by cryptocurrency company Tether that it will invest 10%–15% of its portfolio in actual gold.
Safe-Haven Demand and Institutional Support
💰 Gold Market Record Highlights
- Record Price: $5,591.61 per ounce
- Weekly Gain: Over 10%
- Key Drivers: Safe-haven demand & central bank buying
- Currency Impact: Weak US dollar
- Institutional Support: Tether investing in physical gold
In the meantime, supply limitations, momentum purchasing, and investor demand for less expensive gold substitutes drove the silver price increase. So far this year, the white metal has increased by more than 60%.
In a letter cited by Reuters, Standard Chartered analysts stated that although the silver market is expected to produce another deficit this year, the actual market tightness is caused by the decreased availability of above-ground inventories.
Silver Supply Constraints and Market Deficit
📈 Silver Price Surge Explained
- Record High: $119.34 per ounce
- YTD Gain: Over 60%
- Main Drivers: Supply shortages & momentum buying
- Investor Trend: Cheaper alternative to gold
- Market Outlook: Continued deficit expected
The momentum in both metals is unquestionably strong, according to Aamir Makda, Commodity & Currency Analyst at Choice Broking, but there is a technical caution sign: “The RSI (Relative Strength Index) is currently in overbought territory across all timeframes.” More significantly, despite the bullishness, a Daily RSI divergence has emerged—a traditional “warning flag” indicating that long positions should proceed cautiously. In the next session, we anticipate a moderately bullish trend in gold and silver,” Makda stated.
Frequently asked questions
1. What caused the price of gold to reach a new all-time high today?
Strong demand for safe havens amid geopolitical tensions, central bank purchases, and a declining US currency caused gold prices to soar to a record high.
2. What causes the rapid increase in silver prices?
Supply limitations, growing investor interest as a less expensive alternative to gold, momentum purchasing, and anticipations of a sustained market shortfall are all contributing factors to the rise in silver prices.
3. What effect did the US Federal Reserve’s ruling have on the price of gold and silver?
Because lower real yields typically increase demand for non-yielding assets like gold and silver, the Fed’s decision to hold interest rates constant and acknowledge ongoing inflation helped precious metals.
4. How did today’s rally relate to geopolitical tensions?
Investors shifted their money into safe-haven assets like gold and silver as a result of the escalating tensions between the US and Iran.
5. Do analysts think the prices of gold and silver are too high?
Yes, Despite the strong positive momentum, analysts caution that the Relative Strength Index (RSI) is in overbought territory. A daily RSI divergence indicates that investors should exercise caution.
Conclusion
Due to supply constraints, particularly in silver, central bank demand, geopolitical threats, and uncertainty surrounding the world economy, gold and silver prices are continuing their historic surge.
Technical indications indicate caution in the immediate term as markets appear to be overbought, even though the long-term view is still favorable. In times of increased volatility, investors could think about taking a rigorous approach.
Disclaimer: This content is for informational purposes only and should not be considered financial or investment advice. Market prices are subject to change. Please consult a certified financial advisor before making any investment decisions.
