Gold prices edged higher in early trading, supported by continued demand for safe-haven assets. Spot gold rose 0.5% to $4,335.50 per ounce by late morning in New York, after touching an intraday high of $4,402.06. The metal remains near record territory, having peaked at $4,549.71 on December 26, and ended 2025 with a striking annual gain of about 64%. U.S. gold futures for February delivery were little changed, up 0.1% at $4,346.20 per ounce.
Market sentiment continues to be shaped by expectations that the Federal Reserve will begin easing policy later this year. Traders are pricing in at least two quarter-point rate cuts, a backdrop that typically enhances the appeal of non-yielding assets such as gold. Lower borrowing costs, coupled with concerns over tariffs, U.S. fiscal pressures, and broader market risks, have also lifted interest across the precious metals complex.
Geopolitical developments added further support. Ongoing unrest in Iran, the lack of progress toward a Russia-Ukraine peace agreement, and continued tensions surrounding Gaza have reinforced gold’s role as a hedge against uncertainty. From a technical perspective, analysts note that futures prices remain within reach of key resistance levels near recent record highs, suggesting bullish momentum has not yet fully dissipated.
Demand conditions in major consumer markets also showed signs of improvement. Physical gold traded at a premium in both India and China for the first time in roughly two months, indicating renewed buying interest after a period of subdued activity.
Other precious metals posted sharper gains during the session. Spot silver climbed 2.3% to $72.90 per ounce, after having reached an all-time high of $83.62 earlier in the week. Platinum surged 3.7% to $2,130.55 per ounce, building on a rally that previously carried it to a record $2,478.50.
Silver and platinum outperformed gold over the course of 2025. Silver surged more than 147%, buoyed by its designation as a critical mineral in the United States, persistent supply shortages, and low inventories amid strong industrial and investment demand. Platinum advanced about 127% over the year, reflecting similar supply-side constraints and expanding industrial use.
Palladium also moved higher, gaining 1% to $1,621.75 per ounce. The metal ended last year up 76%, marking its strongest annual performance in 15 years.
Despite the firm start to the New Year, the sharp rally into year-end has left the sector vulnerable to near-term consolidation, with all major precious metals on track to post weekly losses following the recent surge.