ALBAWABA - Silver broke the $75-per-ounce barrier for the first time on Friday. Gold and platinum also hit record highs, driven by anticipations of more U.S. interest rate cuts and escalating global geopolitical tensions.
In spot trading, gold prices saw a significant increase, reaching approximately $4,512 an ounce. This followed a brief period where they surpassed $4,530 earlier in the day. U.S. gold futures also rose, suggesting ongoing investor interest in safe-haven assets.
Silver experienced one of the most substantial gains among precious metals, surging nearly 4% to settle just below its new high after hitting $75.14 an ounce.
The surge was linked to a potent mix of speculative fervor, the usual thinness of year-end trading, and a dollar that was losing ground.
According to market watchers, the perfect storm of expected extended monetary easing from the Federal Reserve, escalating geopolitical tensions, and substantial investment inflows has propelled precious metals to record highs. Some analysts are predicting gold could hit $5,000 an ounce in the first half of 2026, with silver potentially reaching $90.
Gold is poised to post its biggest annual gain since 1979, fueled by aggressive central bank buying, increased holdings in exchange-traded funds, and a continuing shift away from the dollar. Silver, however, has outpaced gold this year, with gains exceeding 150%, thanks to industrial demand and its status as a critical mineral in the U.S.
Platinum prices surged, jumping over 9% to surpass $2,426 an ounce, having already set a new record earlier in the day. Palladium also gained ground, rising more than 7%, buoyed by supply limitations and the unpredictable nature of global trade and sanctions.
These precious metals are on track for a strong week, with platinum achieving its best weekly performance ever. Analysts observed that the combination of restricted supply and consistent industrial demand is expected to maintain elevated prices in the immediate future.
