Gold Rips Higher as Risk-Off Sentiment Batters the Dollar

Happy Friday, traders. Welcome to our weekly market wrap, where we take a look back at these last five trading days with a focus on the market news, economic data, and headlines that had the most impact on gold prices and other key correlated assets— and may continue into the future.

Here’s what you need to know:

1. Gold surged more than $350/oz (+7.9%) on the week, trading within reach of the $5,000/oz psychological barrier.

2. Silver joined the rally, topping $100/oz for the first time and gaining roughly +40% since the start of 2026.

3. The precious-metals move coincided with a weaker US Dollar and turbulence in major US stock indexes, while other commodities like crude oil slipped—highlighting a more targeted flight to safety.

4. Even after midweek de-escalation headlines, investors largely held positions and continued buying—suggesting a stickier “uncertainty premium” in metals.

To use a technical pricing term, gold prices have been on an absolute tear this week. The yellow metal is arguably the strongest performer across major asset classes, gaining more than $350/oz (+7.9%) in spot markets on the week to run within touching distance of $5000; in the futures market, gold contracts have had their best week in history.

The only real competitor for the title this week is gold’s close cousin silver, which is topping $100/oz for the first time ever, for a gain of roughly +40% since the start of 2026. This rally, of course, comes with an inverse performance in the US Dollar over the last five days as the Greenback flags and the more risk-sensitive assets of the major US stock indexes have had a turbulent week at best.

It’s also not a commodity-focused rally, as we’ve seen other heavily speculated categories like crude oil slide since Sunday evening’s open. With all that in mind, the week’s performance in precious metals indicates a new dynamic to market trading that could join monetary policy outlook as a dominant driver through Q1 2026 and beyond.

Following the dramatically intensified rhetoric from the US President and executive branch mouthpieces about designs on a possibly non-consensual annexation of Greenland over the holiday weekend, it was no surprise to see the aggressive risk-off swing on Monday night and Tuesday morning that propelled gold prices over $4800/oz.

A very common pattern over the first year of Trump II—particularly with the advent of the administration’s willingness to threaten and eventually enact a meaningful percentage of restrictive trade tariffs against economic partners, which again came into play with regards to Greenland—has been an immediate market responses to decrees, plans, and extemporaneous threats from Washington that pushes gold prices higher in a flight to safety, followed eventually by a swing of the pendulum back the other way and exuberant risk-taking back at the fore once the administration (one way or another) walks back the original comments or implications.

This week has been very different. Following the midweek proclamation from President Trump that the framework of a deal had been reached with NATO to cool the American government’s designs on acquiring sovereign territory of Denmark, traders and managers have not unwound their gold positions in any meaningful way and have instead continued to buy into gold, silver, and other historical safe-havens.

It appears that this most recent saga has been enough to convince the market’s psyche that no cycle of threaten-and-settle can truly be expected to be “the last,” and instead, investors are repositioning for a longer haul of constant uncertainty and very possible instability being the norm. Based on recent performance, it would be difficult to argue for a natural ceiling of resistance in gold prices under this paradigm, other than the presumably tough psychological barrier of $5000/oz.

Next week, we will see a clear test of how long-lasting this shift in sentiment might be, as the US FOMC is set to deliver its next monetary policy decision on Wednesday. One thing that might be made plain, if the Fed takes a more hawkish position next week, is whether the market is now more attuned to sprawling geopolitical and economic risks than to the monetary policy mechanics that have driven gold to and now increasingly beyond the previously unthinkable pricing levels of $2000, $3000, and now $4000/oz.

In the meantime, traders, I hope you can get out and safely enjoy your weekend for the next couple of days. After that, I’ll see you back here next week for another market recap.