Mon Dec 29 12:10:00 UTC 2025: News Article:

Silver Soars Past $77, Gold and Platinum Shatter Records Amid Rate Cut Expectations and Geopolitical Uncertainty

NEW YORK – Silver prices surged past the $77 mark for the first time ever on Friday, while gold and platinum also reached new all-time highs, fueled by growing anticipation of interest rate cuts by the U.S. Federal Reserve and heightened geopolitical tensions driving safe-haven demand.

Spot silver spiked 7% to $77.12 per ounce, hitting a record high of $77.11, marking a staggering 167% increase year-to-date. This meteoric rise is attributed to ongoing supply deficits, silver’s designation as a critical mineral in the U.S., and significant investment inflows.

Gold also experienced a surge, climbing 1.1% to $4,529.8 per ounce after reaching a record $4,533.14 earlier in the day. U.S. gold futures for February delivery added 1.3% to $4,559.

Platinum joined the rally, rising 8.7% to $2,411.46 per ounce after peaking at a record $2,448.25. Palladium also saw significant gains, climbing nearly 10% to $1,850.76.

Analysts point to expectations of further easing by the Federal Reserve in 2026, a weakening U.S. dollar, and persistent geopolitical instability as the primary drivers of this volatility in the precious metals markets.

“Markets are anticipating two rate cuts in 2026, with the first likely around mid-year amid speculation that U.S. President Donald Trump could name a dovish Fed chair, reinforcing expectations for a more accommodative monetary stance,” said Peter Grant, vice president and senior metals strategist at Zaner Metals.

The weakening dollar, which is on track for a weekly decline, makes dollar-denominated assets like gold more attractive to overseas buyers. Geopolitical concerns, including recent U.S. airstrikes against Islamic State militants in Nigeria, have further amplified the appeal of precious metals as safe-haven assets.

Grant believes that silver could reach $80 per ounce by year-end, while gold’s next target is $4,686.81, with a potential for $5,000 in the first half of next year. Gold is on track for its strongest annual gain since 1979, boosted by Fed policy easing, central bank purchases, ETF inflows, and the ongoing trend of de-dollarization.

While physical demand in India has been dampened by the price rally, with gold discounts widening to a six-month high, discounts in China have narrowed significantly.

Disclaimer: Data is delayed at least 15 minutes.

Read More