Gold prices surged to fresh all-time highs during Asian trading on Monday, climbing close to the $4,700-per-ounce mark as investors rushed into safe-haven assets. Demand strengthened after U.S. President Donald Trump threatened new tariffs on eight European countries linked to his renewed push for U.S. control of Greenland.
Spot gold advanced 1.6% to $4,667.33 an ounce by 02:26 ET (07:26 GMT), after touching a record peak of $4,690.75 earlier in the session. U.S. gold futures also hit a new high, reaching $4,697.71 an ounce.
Gold supported by Greenland tensions and rate cut expectations
Gold extended last week’s powerful rally after Trump said over the weekend that the United States would impose fresh tariffs on eight European nations opposing Washington’s Greenland ambitions. According to Trump, a 10% tariff on goods from the affected countries will take effect on February 1, with the rate set to rise to 25% in June if no agreement is reached.
The proposed measures target major economies including France, Germany, and the United Kingdom, along with several Nordic and northern European countries. European officials responded with strong criticism, fuelling concerns over a wider transatlantic trade dispute and driving investors toward precious metals.
The tariff threats added to an already supportive environment for gold, which has benefited from growing expectations that the Federal Reserve could begin cutting interest rates later this year. Weaker U.S. economic data and signs of easing inflation have strengthened the case for monetary easing, lowering the opportunity cost of holding non-yielding assets such as gold.
Silver prices also jumped sharply, climbing more than 4% to a new record high of $94.03 an ounce. The metal has been supported by safe-haven demand as well as its importance in industrial applications. Platinum prices rose over 1% to $2,358.69 an ounce, reflecting stronger investor interest in physical assets.
Copper gains as China growth data signals resilience
Among industrial metals, copper prices moved higher on Monday after new gross domestic product data showed that China met its official 5% growth target for 2025.
Benchmark copper futures on the London Metal Exchange rose 0.6% to $12,881 a metric ton. Copper has benefited from a broader rally in physical assets through late 2025, with investors also betting that rising global investment in data centers will boost long-term demand.
Chinese economic figures showed GDP growth slightly exceeded expectations in the December quarter, reinforcing optimism about economic resilience. However, exports continued to drive expansion, while business investment and household spending remained weak.
The uneven recovery has increased expectations for further policy support from Beijing, with the People’s Bank of China set to announce a key lending rate decision on Tuesday.
