JOHANNESBURG, Dec 24 – Gold climbed to a fresh all-time high above $4,500 an ounce, marking a historic milestone in a rally that has swept across precious metals markets.
Spot gold rose nearly 1 percent, extending gains for a fourth straight session, before paring advances to trade little changed. The surge has been driven by escalating geopolitical tensions and growing expectations that the US Federal Reserve will cut interest rates further next year.
Investor demand for safe-haven assets intensified amid developments in Venezuela, where the United States has moved to blockade oil tankers, raising concerns over broader regional instability and potential disruptions to energy markets.
Lower interest rate expectations have also supported the rally. Gold, which offers no yield, typically benefits when borrowing costs fall, as reduced returns on cash and bonds make the metal more attractive by comparison.
The rally has not been limited to gold. Silver and platinum also advanced to record levels, underscoring strong investor appetite for precious metals as both defensive assets and inflation hedges.
Gold prices are now on course for one of their strongest annual performances in decades, reflecting a rare combination of geopolitical risk, looser monetary policy expectations and sustained central bank buying.
