BY COMFORT OGBONNA
Gold prices climbed sharply on Monday while other precious metals posted strong gains, after the United States captured Venezuelan President Nicolás Maduro over the weekend, escalating geopolitical tensions and driving investors toward safe-haven assets. The sudden rise in political risk boosted demand for bullion as markets sought protection from uncertainty.
As of 0508 GMT, spot gold rose 1.8% to $4,406.77 per ounce, marking its highest level in a week. U.S. gold futures for February delivery also advanced, gaining 1.9% to $4,413.40 per ounce. The move reflects renewed investor appetite for gold following the dramatic developments in Latin America.
“The events in Venezuela have reignited safe-haven demand, with gold and silver among the main beneficiaries as investors look to protect against geopolitical risks,” said Tim Waterer, chief market analyst at KCM Trade. He noted that heightened uncertainty often pushes investors toward assets seen as stores of value.
The rally followed Saturday’s U.S. operation that resulted in the capture of Maduro, an event widely described as Washington’s most controversial intervention in Latin America since the U.S. invasion of Panama 37 years ago. While Vice President Delcy Rodríguez has assumed the role of interim leader, she has insisted that Maduro remains the country’s president, adding to the political ambiguity and tension surrounding the situation.
Gold’s latest surge builds on an already exceptional run. Bullion posted gains of about 64% last year, its strongest annual performance since 1979, supported by a combination of geopolitical tensions, interest rate cuts, strong central bank purchases, and inflows into exchange-traded funds. Prices reached a record high of $4,549.71 on December 26, 2025, highlighting the scale of investor demand.
Comments from U.S. Federal Reserve officials have also remained in focus. Philadelphia Federal Reserve Bank President Anna Paulson said on Saturday that additional interest rate cuts may still be some way off following an aggressive easing cycle last year. Despite that, markets continue to price in at least two rate cuts from the Fed this year, keeping underlying support intact for non-yielding assets like gold.
Investors are now turning their attention to U.S. non-farm payrolls data due on Friday, which is expected to provide further clues on the health of the labor market and the future path of interest rates. Lower interest rates and heightened uncertainty typically favor precious metals, as they reduce the opportunity cost of holding assets that do not generate yield.
Silver outperformed gold, surging 3.9% to $75.46 per ounce. The metal remains near record territory after hitting an all-time high of $83.62 on December 29 and ended last year with a remarkable 147% gain, its strongest annual performance on record. Silver’s rally has been driven by its designation as a critical U.S. mineral, along with persistent supply constraints amid rising industrial and investment demand.
Platinum also advanced, with spot prices rising 2.2% to $2,189.88 per ounce after touching an all-time high of $2,478.50 last Monday. The metal gained more than 5% during early Asian trading to reach a one-week high, reflecting broad-based strength across the precious metals complex as investors continue to seek refuge from global uncertainty.
Original article
Comments