Gold extended its record-breaking rally above $5,500 per ounce on Thursday, setting a fresh high as the US dollar weakened and uncertainty around the economy and geopolitics remained elevated.
Dollar weakness and Trump comments
Momentum picked up after President Donald Trump brushed off the dollar’s slide to four-year lows.
Analysts say Trump is signaling tolerance for a weaker currency, even as tariff threats persisted and he renewed criticism of the Federal Reserve’s independence.
Fed holds rates at 3.50%–3.75%
The Federal Reserve held interest rates steady at 3.50%–3.75%.
Policymakers pointed to resilient economic activity and early signs of labor-market stabilization.
The Fed also cautioned that inflation remains elevated and that the outlook is highly uncertain.
Debasement concerns and flows
Gains were also supported by debasement concerns, with fiscal risks pushing investors away from currencies and bonds.
The move higher was further underpinned by robust central-bank buying and sustained gold ETF inflows.
