Gold prices surged to a record high on Monday as investors flocked to safe-haven assets amid escalating concerns over US President Donald Trump’s tariff plans and a weakening US dollar.
Spot gold rose 0.5% to $2,951.19 an ounce, after hitting $2,956.15 earlier in the session—marking its eleventh record high in 2025. The precious metal is up more than 12% this year, drawing attention to the potential $3,000 milestone.
The recent tariff plans announced by the US are fueling fears of inflation and potential trade wars, increasing the demand for safe-haven assets like gold.
During a press conference on Monday, Trump reaffirmed that tariffs on Mexico and Canada would proceed as scheduled following a one-month delay set to expire next week.
The US dollar index touched its lowest level since December 10, making gold more affordable for buyers using other currencies. The index, which measures the greenback against six major peers, closed 0.01% lower on Monday at 106.597.
Analysts believe that ongoing geopolitical tensions and economic uncertainties will continue to support the upward momentum in gold prices.
