Gold, Silver Hit Record Highs Again Amid Greenland Threats

Gold and silver reached record highs in January as investors sought safe-haven assets amid mounting geopolitical and economic uncertainty. The latest surge followed US President Donald Trump’s threat of additional tariffs on European countries over the Greenland dispute.

As of 09:49 GMT, spot gold was up 1.6% at US$4,669.09/oz, after touching a peak of US$4,689.39/oz, while US gold futures for February delivery rose 1.7% to US$4,674.10/oz. Trump escalated tensions last week by threatening a series of increasing tariffs on European allies unless the United States is permitted to purchase Greenland, intensifying the dispute.

“When institutional and political risks resurface, markets often react quickly by reallocating toward safe-haven assets, with gold once again emerging as the preferred choice,” said Linh Tran, Senior Market Analyst, XS.com. 

Equities and the US dollar weakened as Trump’s latest tariff threats increased investor demand for gold, the Japanese yen, and the Swiss franc, reflecting a broad risk-off sentiment across global markets. Other precious metals also advanced, with spot silver climbing 3.5% to US$93.17/oz after reaching a record high of US$94.08, marking a year-to-date gain of more than 30%. Spot platinum rose 1.2% to US$2,355.70, and palladium added 0.4% to US$1,806.70.

Earlier in the month, precious metals experienced notable gains following the United States’ capture of Venezuelan President Nicolás Maduro. On Jan. 5, gold prices climbed more than 2%, reaching weekly highs as investors shifted toward traditional safe-haven assets amid heightened risk sentiment.

The rally continued on Jan. 12, when gold and silver again reached record levels after the Trump administration announced a criminal investigation into Federal Reserve Chair Jerome Powell, raising concerns over US monetary policy and adding a political risk premium to financial markets. Spot gold climbed 1.9% to US$4,596/oz briefly touching US$4,600, while US gold futures rose 2.3% to US$4,606. Silver surged to US$84.3/oz, with platinum and palladium also posting significant gains.

Trump Pushes Greenland Plan; Diplomatic Talks Continue

A high-level US-Denmark-Greenland meeting on Jan. 14 ended without a clear resolution, highlighting ongoing disputes over sovereignty and security in the Arctic. Participants, including US Vice President JD Vance, Secretary of State Marco Rubio, Danish Foreign Minister Lars Lokke Rasmussen, and Greenland’s Foreign Minister Vivian Motzfeldt, agreed to continue talks and established a working group to explore potential compromises. Rasmussen called the meeting “frank but constructive” and rejected US proposals for Washington to assume control of Greenland as “totally unacceptable.” 

A day later, President Trump escalated pressure by threatening tariffs on countries that do not back his Greenland plan, citing national security concerns amid increasing Russian and Chinese activity in the Arctic. Trump’s special envoy, Jeff Landry, is scheduled to visit Greenland in March to continue negotiations and expressed confidence that a mutually acceptable deal could ultimately be reached.