Gold prices climbed sharply during European trading on Monday after a U.S. military operation in Venezuela led to the arrest of President Nicolás Maduro, triggering renewed demand for safe-haven assets.
Spot gold rose 2.2% to $4,427.40 per ounce by mid-morning European time, while U.S. gold futures for March delivery advanced 2.5% to $4,438.80.
The precious metal has already posted an exceptional performance, gaining more than 60% throughout 2025 and reaching a record high of $4,549.71 per ounce. Although heavy profit-taking briefly weighed on prices after that peak, gold has since recovered and is now trading close to all-time highs.
Risk sentiment weakened after U.S. officials confirmed that Maduro was detained during a weekend operation in Caracas and transported to the United States to face longstanding criminal charges. The move marked the most significant U.S. intervention in Venezuela in decades and prompted investors to reassess geopolitical risks across the region.
According to Thomas Mathews, Head of Markets for Asia Pacific at Capital Economics, the immediate economic impact is likely limited. However, he warned that the geopolitical consequences could be more meaningful, potentially keeping risk premiums elevated across certain Latin American assets.
U.S. President Donald Trump described the capture of Maduro as a decisive action against what he called a criminal regime, stating that Washington would work toward a safe and orderly political transition in Venezuela.
Venezuela holds the world’s largest proven oil reserves, but years of sanctions and underinvestment have severely restricted production. The U.S. operation has added uncertainty around near-term crude supply, increasing concerns across energy markets.
For gold, the escalation reinforced an already supportive environment. Bullion prices continue to benefit from expectations of U.S. interest rate cuts later this year, ongoing central bank purchases, and persistent worries over global economic growth.
