Gold continued its
record-breaking rally in late January 2026, with spot prices approaching the
$5,000 per ounce level as investors sought refuge amid rising geopolitical tensions and market uncertainty. On Wednesday, gold climbed sharply, up more than 4% over just a few sessions, while silver also posted strong gains, trading near
$93.70 per ounce as safe-haven demand intensified.
Drivers: Geopolitical Risk and Tariff Fears
The current metals rally has been connected to broad market anxieties triggered by President
Donald Trump’s remarks at the World Economic Forum in Davos, including controversial positions on trade and Greenland. These developments have spurred expectations of greater economic policy uncertainty, prompting investors to pare back equities and other risk assets.
Analysts at Yardeni Research pointed to continued
central bank buying and global instability as reinforcing factors supporting gold’s ascent. Meanwhile, tariff tensions and fears of economic disruption were cited by other market observers as key catalysts for the surge in safe-haven flows into gold and silver.
Market Dynamics: Stocks, Bonds, Dollar
The rally in precious metals has occurred alongside weakness in equities and shifts in fixed income markets. As stocks declined and risk sentiment deteriorated, U.S. Treasury yields initially spiked before stabilizing, while the
U.S. dollar weakened, both of which can enhance the relative appeal of dollar-priced metals like gold and silver.
These price movements reflect what some analysts describe as a revival of the
“Sell America” trade, a trend in which investors reduce exposure to U.S. dollars, Treasuries, and stocks in favor of alternative stores of value, including precious metals.
Analyst Outlook
Despite periodic pullbacks, gold’s broader environment remains supportive, with strategic forecasts placing year-end targets even higher, in the
$5,000–$6,000 per ounce range according to some research firms. Silver’s rally, while smaller in absolute terms than gold’s, continues to benefit from both safe-haven purchasing and its industrial demand component.
Disclaimer
This article is provided for educational and informational purposes only and does not constitute financial, legal, or tax advice. Precious metals involve risk, and past performance is not indicative of future results. Red State Gold Group does not provide personalized financial advice. Readers should conduct their own research and consult with qualified professionals before making any financial decisions.
Source:
Gold's Record Rally Continues, Supported By 'Sell America' Trade
