By SUZANNE DOWNING
Gold surged past $5,000 an ounce for the first time in history Monday morning, hitting a record high of $5,100 before easing back to settle up 2.2% at $5,091, a milestone driven by growing investor anxiety over geopolitical disruption and global trade uncertainty.
The spike followed a series of destabilizing geopolitical developments, including President Donald Trump’s warning that the United States could impose 100% tariffs on Canada if Ottawa were to pursue a strategic trade deal with China, as well as escalating tensions between the U.S. and European leaders over the future governance and strategic status of Greenland.
Markets responded in predictable fashion: Investors moved aggressively into gold, the traditional safe-haven asset, as risk exposure across currencies, equities, and global trade flows appeared increasingly unstable.
Monday’s milestone marks the latest surge in what has become an extraordinary and historic run for gold. Since Trump’s second inauguration just over a year ago, the price of gold has climbed nearly 90%, reflecting sustained investor demand for stability amid systemic uncertainty.
Rather than reflecting confidence, the surge highlights deep unease within financial markets that rely on predictable structures, trade regimes, and geopolitical continuity.
Large institutional investors, sovereign funds, and global asset managers depend on the preservation of the status quo and historically respond to disruption by shifting capital into non-sovereign, non-currency-based assets.
Trump’s policy posture has repeatedly disrupted long-standing economic assumptions, alliances, and trade frameworks. Financial markets tend to react defensively to such shocks, especially when they affect tariffs, supply chains, currency stability, and geopolitical alignments.
Gold’s rally reflects all that.
8 thoughts on “Gold breaks $5,000 an ounce as markets react to global disruptions and investor flight to safety”
A key question. What portion of the increase in the gold price is attributable to economic factors affecting supply and demand versus monetary policy (deflation of our currency by government borrowing and money printing)?
I have a few 1/2 empty bottles of Johnny Walker Gold Label near my typewriter. Can I cash in? Desperate, here.
What is there to like about gold? Absolutely everything!
It keeps my booze inventory stocked near my computer. I’m ready for another fight.
At 73, the only thing old Derm is fighting is his final resting place with his brothers.
38 trillion in debt. 2 trillion deficit. Nearly 20% of the budget goes to service the interest on the debt. Bonds are worthless.
We are Wily E. Coyote that has run off the (fiscal) cliff, but we haven’t looked down. Yet.
When we give up our empire. When we cut the federal government by half. When we are all about winning economically, which includes the foundation of strong, thriving families. When the replacement rate is over 3. All these will mean we are serious about not living in this terrible way that we are. Or we will (are going) bankrupt and that is never pretty for a country. The four horsemen roam the land.
Donald and his grotesque dementia is responsible for destroying our standing in the world and it has horrible consequences, now and tomorrow. Not just inflation-goading taxes on all of us that he calls tariffs, not just the many years of costly and chaotic federal administrative disruption caused by DOGE ahead of us but attacks on health care and domestic stable industries and the rule of law. Trump has made America second rate, an embarrassment.
Gold, Silver, and Copper will be better investments than the ‘immaginary’ crypto.
Do your homework and place your bets … Wisely!