GOLD PRICES SOAR 2.1% AMID GEOPOLITICAL ISSUES

Mon 05 January 2026:

The ounce price of gold rose by 2.1% on Monday compared to the last week amid geopolitical issues.

The price of gold was $4,421 as of 0720GMT, increasing by around $90 per ounce from Friday to Monday.

Tensions between the US and Venezuela have escalated to a new level, following Washington’s military operation on Saturday, with the country’s leader Nicolas Maduro and his wife “captured” and flown to the US to face criminal charges.

The US raid on Venezuela and President Donald Trump’s threats against other countries have heightened geopolitical concerns globally, leading to increased demand for gold.

The price of gold, recently hitting record highs one after another due to “dovish” expectations toward the US Federal Reserve and other central bank purchases, has also increased amid geopolitical risks following the steps taken by the US.

Last month, gold rose to a record $4,525.96 per ounce.

Silver’s price also rose by 3.94%, hitting $75.5 per ounce on Monday.

__________________________________________________________________________

https://whatsapp.com/channel/0029VaAtNxX8fewmiFmN7N22

__________________________________________________________________________

Gold is a timeless and crucial asset for several key reasons.First, it serves as a reliable store of value, preserving wealth over centuries unlike fiat currencies that can depreciate.

Second, gold acts as an effective hedge against inflation — when prices rise, gold typically holds or increases its purchasing power.

Third, it’s a proven safe-haven during uncertainty — economic crises, geopolitical tensions, or market turmoil drive investors to gold, as seen in its 66% surge in 2025 amid global events.

Fourth, gold enhances portfolio diversification — with low correlation to stocks and bonds, it reduces overall risk and improves long-term returns.

Finally, its scarcity, liquidity, and no credit risk make it a strategic reserve for central banks and individuals alike.

SOURCE: INDEPENDENT PRESS AND NEWS AGENCIES

__________________________________________________________________________

FOLLOW INDEPENDENT PRESS:

WhatsApp CHANNEL
https://whatsapp.com/channel/0029VaAtNxX8fewmiFmN7N22