Gold prices surged to a fresh historic high above $5,280 an ounce on Wednesday, extending a relentless rally that has seen the precious metal gain 22% in the first weeks of 2026.
The move reflects a deepening "debasement trade" as investors flee sovereign bonds and the U.S. dollar in favor of hard assets.
Bullion rose as much as 2% in mid-week trading, building on a massive 3.4% jump in the previous session—the metal's most significant one-day gain since the tariff-induced volatility of April.
The catalyst for the latest leg up was a set of remarks from President Donald Trump, who told reporters in Iowa on Tuesday that he was "not concerned" about the dollar’s slide to a four-year low.
“No, I think it’s great,” Trump said when asked about the currency's decline.
“Look at the business we’re doing. The dollar’s doing great.”
The comments were widely interpreted by FX desks as a green light for further dollar selling, making dollar-denominated gold significantly cheaper for international buyers.
The flight into precious metals has been further electrified by silver, which has outpaced gold with a staggering 60% year-to-date gain, briefly touching $113 per ounce.