Gold prices surged past the $3,000 mark on Tuesday, setting a new all-time high as investors sought refuge in the precious metal amid escalating geopolitical tensions and looming U.S. tariffs. Spot gold reached a peak of $3,028.24 early in the session, before settling at $3,034.17 an ounce, up 1.1%. U.S. gold futures gained 1.2% to $3,043.
Bullion has gained more than 14% year-to-date, supported by persistent inflation fears, central bank buying, and global economic uncertainty. “There is a perfect storm of gold-supporting factors,” Ole Hansen, head of commodity strategy at Saxo Bank, said. “The latest focus is the Middle East concerns that come on top of economic concerns about the direction of the U.S.”
The surge follows renewed violence in the Middle East, where Israeli air strikes in Gaza on Tuesday killed at least 326 people, according to Palestinian health officials, shattering a fragile two-month ceasefire. Meanwhile, U.S. President Donald Trump announced a series of new tariffs, including a flat 25% duty on steel and aluminum, alongside sectoral tariffs set to take effect April 2.
These geopolitical and trade risks are adding fuel to gold’s momentum. “You’ve got the FOMC in the U.S. amid quite a chaotic tariff policy backdrop that could send gold potentially even higher if they have a somewhat dovish stance on rates,” said Nitesh Shah, commodities strategist at WisdomTree.
