Gary Wagner, a commodity broker and market analyst, told Kitco that gold prices have increased for the eighth consecutive week, pushing the precious metal to unprecedented highs thanks to increased global uncertainty and central banks stepping up buying.
The April gold futures closed at $2,950 an ounce, up $26.3 a week and hit an all-time high of $2,973.4 an ounce on Thursday.
Since December 30, 2024, gold has shown remarkable strength, recording an increase of more than 300 USD/ounce. Especially in recent days, gold prices have remained stable near record levels, with a rather narrow range of fluctuations between trading sessions.
Gold's continued increase was largely driven by increased safe-haven demand, as geopolitical tensions and policy uncertainties grew.
Philip Newman, managing director of precious metals consulting firm Metals Focus, said: High demand for safe havens, driven by President Donald Trumps tax strategy and new developments in Ukraine, has been a key factor supporting the recent increase in gold prices.
This expert said that market concerns increased after US President Donald Trump made controversial statements about Ukrainian President Volodymyr Zelensky and Russia's war in Ukraine, further straining relations between the US and some European countries.
In addition, although plans to impose tariffs on Canada and Mexico were postponed after agreements in early February, Mr. Trump's trade policy still creates a cautious mentality in the market.
These concerns are also clearly reflected in US consumer confidence data. According to the University of Michigan Consumer Psychology Index, Americans are increasingly concerned about the impact of tariffs on commodity prices.
Ole Hansen - an expert at Saxo Bank - commented: "The strong momentum of gold price increase, along with the "fear of missing opportunities" mentality, is being reinforced by demand from central banks and individual investors wanting to protect assets against an increasingly unstable world".
This is clearly demonstrated through capital flows into gold ETFs, when the world's largest gold ETF recorded the strongest holding increase since 2023, with more than 20 tons of gold purchased in just three trading days.
With accumulation by central banks, strong interest from institutional investors and prolonged geopolitical instability, gold continues to affirm its position as a safe-haven asset and may increase in price in the coming time.
