Gold Surges Past $4,500 an Ounce to Record High on Venezuela Tensions and Rate-Cut Bets

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Gold prices climbed to a fresh record on Wednesday, breaking above $4,500 an ounce for the first time, driven by rising geopolitical tensions in Venezuela and growing expectations of further US interest-rate cuts next year.

Bullion gained more than 0.5%, extending a three-day rally as escalating frictions in Venezuela, where the United States has blockaded oil tankers, boosted demand for safe-haven assets. The metal is now on track for its strongest annual performance since 1979.

Market sentiment has also been supported by expectations that the US Federal Reserve, after delivering three consecutive interest-rate cuts, will further reduce borrowing costs in 2026. Lower interest rates tend to benefit non-yielding assets such as gold.

Spot gold rose 0.5% to $4,507.27 an ounce as of 7:44am in Singapore. Other precious metals also hit record levels, with silver climbing as much as 0.6% to $71.856 an ounce, while platinum traded above $2,300 an ounce for the first time, according to Bloomberg data dating back to 1987. Palladium also advanced.

Meanwhile, the Bloomberg Dollar Spot Index slipped 0.3% in the previous session, adding further support to precious metal prices.