Gold hits record high as Trump tariffs…

19 January 2026

Gold Hits Record High as Trump Tariffs and Geopolitics Drive Safe-Haven Demand

Market comments on behalf of Maria Agustina, Patti Financial Markets Strategist Consultant to Exness

Gold prices surged on Monday, reaching a fresh all-time high as investors rotated into safe-haven assets following a sharp escalation in trade tensions triggered by new US measures against European nations.

Over the weekend, Donald Trump announced plans to impose a 10% tariff on goods from eight European countries starting February 1. Additionally, tensions have room to grow as the president warned that tariffs could rise to 25% by June 1 if no agreement is reached. The announcement unsettled European markets and prompted discussions among EU nations over potential retaliatory measures, reinforcing uncertainty around global trade and adding to the bullish outlook for the precious metal.

At the same time, geopolitical risks remain elevated across multiple regions, driving demand for safe-haven assets like gold. In Latin America, tensions continue to weigh on risk appetite. In Eastern Europe, tensions remained elevated, while in the Middle East, risks remain present, fueling caution.

Adding to the supportive backdrop, gold continues to benefit from steady ETF inflows and sustained purchases by central banks. With limited economic data scheduled before Thursday, near-term price action is likely to remain highly sensitive to further geopolitical developments.

 

Zaid Barem / ymm