Precious metals experienced significant price surges, driven by US-China trade tensions and fears of potential tariffs. Silver approached a record high, while gold reached a new peak. Platinum and palladium also rose sharply due to concerns over potential White House tariffs. This rally has positioned precious metals as a dominant force in commodity markets this year. These price increases are occurring in the face of geopolitical uncertainty and potential trade wars between economic powers.
Silver rose as much as 1.1 per cent, nearing $US51 an ounce, while platinum and palladium both increased by more than 2 per cent. Gold set a record above $US4,060 an ounce, marking its eighth consecutive weekly gain. Demand for safe-haven assets has been fueled by US-China trade tensions and concerns over the Federal Reserve’s independence. Central bank buying and increasing holdings in exchange-traded funds have also underpinned gold’s advance.
Concerns over liquidity in London have pushed silver closer to its 1980 record of $US52.50 an ounce. Benchmark prices in London have soared relative to New York, prompting some traders to transport silver bars via transatlantic flights to capitalise on the premiums. Traders are also closely monitoring the US administration’s investigation into critical minerals, including silver, platinum, and palladium. Fears that these metals could be subject to tariffs have further tightened market conditions.
Spot gold rose as much as 1.1 per cent to $US4,060.01 an ounce and traded at $US4,028.28 in early Singapore trade. Silver was up 0.7 per cent, remaining above $US50 an ounce. Platinum traded near $US1,630 an ounce, while palladium was around $US1,445 an ounce. On Sunday, China urged Washington to halt tariff threats and return to negotiations, warning of retaliation if the US proceeds with new measures.
