Gold climbed to a fresh all-time high as global markets awaited the arrival of US President Donald Trump in Davos for the World Economic Forum, where he is set to meet European leaders amid escalating tensions over Greenland.
On Wednesday, the precious metal surged past $4,800 per ounce for the first time in history, marking a gain of nearly 2 percent. Silver also advanced, rising 0.44 percent to $95.055 per ounce.
The rally came as geopolitical uncertainty intensified after Trump said that anything short of US control over Greenland would be unacceptable, citing national security concerns. His remarks unsettled markets and increased demand for safe-haven assets.
Gold blasted thru $4,800 a few hours ago for the first time in history.
It's already at nearly $4,900 less than 5 hours later.
I remember when a $100 move in gold was incredibly rare just a few years ago. pic.twitter.com/mPFS00oFnQ
— Wall Street Mav (@WallStreetMav) January 21, 2026
Gold delivered a strong bullish run throughout 2025, and analysts remain optimistic about its outlook for 2026. Expectations of lower US interest rates, a weaker dollar, and continued central bank buying continue to support prices.
The prospect of further rate cuts has played a key role in gold’s momentum. As yields decline, investors have increasingly shifted away from bonds and toward gold to preserve value and manage risk.
Market sentiment has also focused on leadership changes at the Federal Reserve. Investors expect that the next Fed chair may prioritize rate cuts over aggressive inflation control once Jerome Powell’s term ends in May.
Trump has said he has already chosen Powell’s successor, although he has yet to reveal the name. The uncertainty has added to speculation around future monetary policy, further strengthening gold’s appeal.